What Has the Visual Artist's Rights Act of 1990 Accomplished?

This paper presents an economic analysis of the Visual Artist's Rights Act of 1990 (VARA) which provides attribution and integrity rights, commonly called moral rights, for defined types of artistic works. The paper shows that these laws may actually harm artists by adding contracting and transaction costs in the art market. For most works, these costs will be trivial because collectors have a strong self-interest in preserving works in good condition. These costs are more likely to be significant, however, for works subject to destruction or alteration in the future, such as site-specific works and works installed in buildings, because purchasers will require waivers rather than risk violating the Act. The paper also examines the few cases that have been litigated under VARA. Consistent with the economic model, these cases involve large-scale works by relatively unknown artists that have been destroyed by building projects. Finally, the paper presents an empirical analysis of state moral rights laws. Nine states enacted these laws prior to VARA. These laws had no significant effect on artist earnings but a positive and significant effect on the number of artists living and working in the state.     

Does public support make a difference,and for whom?

The paper discusses the impact of gender on the income level and public support of artists in Finland. The empirical data is based on a research project carried out in the Arts Council of Finland. The data discussed in this paper indicated that the average income level of women artists is lower than their male colleagues. There was, however, no significant evidence of a gender bias in the distribution of public support for artists. The variation in the economic situation of artists seems to be notably stronger according to art form than according to gender.Based on a paper presented at the 9th international conference of the Association for Cultural Economics, held in Boston, May 8–11, 1996.     

Price Indices for Artists – A Proposal

This paper proposes a price index for artists adjusted for the quality of the paintings, based on the ratio between the average market price and the average pre-sale estimate for paintings. We apply this methodology to a group of selected artists and schools presented in auctions worldwide in the period 1990–2001. A comparison with quality unadjusted and hedonic indices is also conducted.JEL Classification: C10, Z11     

Evaluating the effects of direct support on the economic situation of artists

The paper deals with the relationship between direct public support for artists and the economic situation of artists. The empirical findings stem from a research project on the situation of artists in Finland. Some problems connected with obtaining relevant data on artists' economic situation are presented. The effects of direct financial support granted to individual artists on their income level and income discrepancies are illustrated with different patterns of impact. A brief presentation of the goals and measures of public policy towards artists in Finland is given, and the relationship with policy objectives and income effects of direct artists support is discussed. Two issues relevant for evaluating artist policy are raised: the need to account for the fundamental differences between art fields and artistic occupations, and the need to study the actual functions grant income has for the artists.     

Creativity and Life Cycles of Artists

Age curves, which relate age to creativity or exceptional achievements, seem to take two forms: some artists bloom early (Picasso), others later in life (Cézanne). We argue that this objective fact is not related to their mode of creation according to which some artists proceed by drawings made prior to the painting's execution, while others are more likely to imitate and achieve this through color and the process of painting itself. JEL numbers:Z10,Z11A very preliminary version of this paper was presented as a discussion at the conference Measuring Art: A Scientific Revolution in Art History, University of Chicago and American University of Paris, June 2003.     

Artistic education matters: survival in the arts occupations

The literature of cultural economics generally finds that an artistic education has no significant impact on artists’ income and careers in the arts. In artists’ labor markets, indefinable features such as talent and artistic creativity apparently contribute more to success or higher rates of payment than education and training. In this article, we will readdress this question by looking at the artists’ survival in the arts occupations. We find it reasonable to expect than an artistic education can have a significant impact on artists’ careers because of the importance of technical skills, networks and signaling effects. We analyze the question by using a unique longitudinal dataset for five different groups of artists in Denmark, using the Cox model to apply survival functions and semi-parametric analysis. The results show, among other things, that an artistic education has a significant impact on artists’ careers in the arts, and we find important industry differences.     

Artistic styles: revisiting the analysis of modern artists’ careers

This paper is based on a global sample of the 214 most prominent modern visual artists born 1850–1945. Two analytical methods are used to analyse the age at which artists produce their best works—one based on year-of-birth cohorts of modern visual artists and the other on stylistic groups. The cohort-analysis shows that the career patterns develop similarly over time for artists working in the USA and Europe; over time the artists’ peak ages first increase, reach their maximum for artists born between 1890 and 1909, and then decrease again. The study of stylistic groups shows that artists associated with Fauvism, the Nabis and Post-Impressionism experience an early peak, whereas artists associated with Surrealism, Impressionism, Abstract Expressionism, Art Informel, Pop Art, Expressionism and Cubism peak later in their careers.

Trust the artist versus trust the tale: performance implications of talent and self-marketing in folk music

Based on a unique dataset of artists that are active in the German market for folk music—the third largest music genre in terms of popularity and sales—I study what factors determine the artists’ success. Following Rosen (Am Econ Rev 71(5):845–858, 1981), I test if differences in artistic performance have a direct effect on financial rewards as regards physical and digital record sales (“direct superstar effect”). Following Adler (Handbook on the economics of art and culture. Elsevier, Amsterdam, 1985), I also study sales effects of a media presence of artists (“classical superstar effect”). Controlling for various contingency factors (e.g., record labels’ support, artists’ socio-demographics), I deal with an economic issue of general interest: Does it pay more to develop your skills in your core business to perfection or to maintain the current level of skills and invest in self-marketing; and do these effects apply to all folk artists alike? Rather contrary to studies on pop and rock genres, I find that higher ability increases artists’ revenues disproportionately, but simultaneously, openly competing for the recognition of one’s talent holds substantial economic risk. I also observe a positive effect of various types of media presence on financial rewards. However, these income determinants have different impacts on sales in physical versus in digital markets, and their effects vary across the success distribution from low- to top-selling artists as well.     

Private or Public?

This paper concerns the consequences of subsidizing art production. Once a government offers grants and subsidies, artists can decide between public and private funding. A joint model of this choice-situation and the related earnings is derived. The model is tested for the case of visual artists in the Netherlands. The analyses show that subsidizing artists enhances a winner-takes-all tendency for the market at large. Financial success on both the private and the public market appears to be not particularly related to human capital, but to personal characteristics, government recognition and (unobserved) talents.     

The Supply of Arts Labour : Towards a Dynamic Approach

Earlier work on the supply of labour of artists has shown that, whenever workers derive satisfaction from the process of work, which is usually the case for artists, some traditional results are reversed. As their proponents make clear this analysis is essentially static, as it does not take into account the intertemporal dimension of the supply of labour. The paper argues that to provide such a dynamic analysis three routes are available: the human capital approach, the household production approach and the evolutionary approach. The paper, therefore, is aimed at discussing the adequacy of various theoretical approaches to the treatment of a specific question.     

The palette of the Macchia Italian artist Giovanni Fattori in the second half of the xixth century

Giovanni Fattori (Livorno 1825–Firenze 1908) is the most representative artist of the Macchiaioli's current, an early group of Italian plein-air artists, whose work anticipates, in the xixth century, that of their younger contemporaries, the French Impressionists. The study, performed by a multidisciplinary team made up of scientists and conservators, presents the results of the scientific characterization carried out on a group of 10 paintings made by Fattori between 1854 and 1893 and shows the way he used complex mixtures of a large variety of traditional and synthetic pigments, ranging from lead white, found pure and also extended with calcium carbonate, natural barite and gypsum to zinc white, from red ochre to cinnabar and vermilion, from yellow ochre and Naples yellow to chrome yellow, cadmium yellow and zinc yellow, combined with many other ones reported in details. This paper highlights the evolution of his painting technique during a time of great technological and social innovations and puts forward some hypothesis on his awareness about manufactured pigments, i.e. tube paints recently introduced into the artists’ circles. The wide range of pigments and their different quality among the same synthetic products suggest that the artist used all the available materials, and that picking out the pigments he retained the early xixth century artists techniques, such as the use of mineral earths and Prussian blue, similarly to his contemporary Italian artists Federico Zandomeneghi and Telemaco Signorini, but he also experimented new and peculiar pigment mixtures in the making of “colored darks” and an innovative use of the grounds in the final composition, that are also distinctive features of the French Impressionists. This work is aimed at contributing to overcome the lack of a comprehensive overview on the widespread historical and scientific data collected up to now on the Italian paintings in the xixth century, which has been severely underestimated with respect to previous art movements.     

Determinants of Prices for Contemporary Art in Dutch Galleries, 1992–1998

We analyse determinants of prices for contemporary art with the help of quantitative data. The focus is on gallery rather than auction prices in the Netherlands. We model the determinants of prices on three different levels: the work of art (size, material), the artist (age, sex, place of residence, institutional recognition), and the gallery (location, institutional affiliation, age). Our main findings are that the size and material of works of art, and the age and place of residence of the artist are strong predictors of price; that differences in size and materials partly ``mask' price differences between artists; and that the variance in prices across galleries is largely explained by characteristics of the artists they represent.     

Selection models in the music industry: How a prior independent experience may affect chart success

The is article analyses the two main approaches for artists’ selection in the recording industry: the direct model in which large major companies directly choose new artists from the supply market, and the agency model in which small independent labels realise the first choice and, subsequently, large organisations pick their new artists among those pre-selected by independents.An empirical analysis of chart sales reveals that artists selected through the agency model exhibit a longer presence on the chart due to repeated successes, while they are slower to reach heavy success once they have entered the chart. Conversely, the direct model leads to artists with a faster path to a strong success, but the same artists have a shorter presence on the chart due to the sporadic nature of their success. The profile of artists selected through these two models is also found to be different: big international soloist stars are more frequently selected through the direct model, while national bands are more frequently selected through the agency model.The insights suggest important implications for management in the cultural industries and especially in the recording industry. Jel Codes: L82; O32     

Intellectual property and optimal copyright protection

Copyright protection, or more generally, intellectual property rights, can be regarded as a means for the stimulation of production of information goods. This paper analyses the basic problem of production and dissemination of information and the role of copyright protection as an incentive for the producers of creative works. Using a simple model, it is shown that not only a cause for limiting the extent of copyright protection does exist, but that also an argument for a minimum level of protection can be found. Even optimal copyright protection, given the restriction that production and dissemination of information goods has to be co-ordinated by a market mechanism, however, does not lead to a first-best (allocatively efficient) solution. Hence, the judgment that copyright protection is the best solution to the basic problem can be grounded only on a comparative institutional approach.Indeed, one has ample reason to despair of finding a legal tenet that governs the rights of authors and artists. There exists no legal principle by which the state is forced to grant to authors a right in their creation. They cannot claim any right thereupon. This is not to say that the state shall not award such a right. On the contrary, there is every reason to treat them like the most favoured workers, as they deliver a work that is more robust than ashlar, and bring food that does not decay...     

Bargaining power and artists' resale dividends

This paper explores the implications of models of bargaining power for issues having to do with the droit de suite, a legal right of graphic artists to a share in capital gains when a work of art is resold by the first purchaser. It is found that, if both artists and art buyers are risk averse, a positive resale share will be the outcome of a bargaining process that is Pareto-optimal as between the bargainers. This does not depend on bargaining power but is a form of risk-sharing, and to the extent that art buyers are risk averse will be preferred to a zero shareby the buyers. Since resale royalties are not ordinarily a feature of art sale contracts in the absence of legislation, this appears anomalous, and the paper explores alternatives to the received bargaining theory such as might correspond better with casual empiricism.     

Geographic clustering of economic activity: The case of prominent western visual artists

This article compiles original data relating to artists’ place of birth and work migration patterns using various art history dictionaries. The broad historic pattern, from the 13th to the 20th century, of the birth locations of prominent artists is examined, followed by a detailed study of the work migration patterns of prominent artists in two important situations, namely Renaissance Italy and France in part of the 19th century. The evidence indicates a marked clustering of activity of prominent artists, both arising from birth location and migration patterns. Some possible explanations for the observed patterns are briefly outlined.

Moral rights protection for the visual arts

Beginning in 1979, certain states extended extra copyright protection, known as “moral rights” protection, to visual artists. Moral rights protection, which was incorporated into U.S. copyright law in 1990, ensures that works cannot be altered in a manner that would negatively impact the reputation of the artist. Using difference-in-differences regression strategies, we compare artists and non-artists in states with moral rights laws to those in states without these laws, before and after the laws are enacted. This enables us to test the impact of the laws on the behavior of artists, consumers, and policy makers. Our analysis reveals that the average artist’s income falls by around $4000 per year as a result of moral rights legislation, but we find no impact of the laws on artists’ choices of residence or on state-level public spending on the arts.     

Land Artists and Art Markets

This paper focuses on the relations of land artists to the art market.As landworks are by their very nature site specific, what is sold is mostoften the documentation of the project. This paper examines whether there isa market for Land Art and if so, whether it shares the same characteristicsas markets for Minimal and Conceptual Art, which started at about the sametime. Data collected on auctions over the period 1972–1992, show thatthis market is very thin. This was probably realized by Land artists wholater seem to have turned to more marketable creations.     

Who is an artist? Heterogeneity and professionalism among visual artists

The purpose of this article was twofold. Firstly, to investigate the heterogeneity among artists as an occupational category and secondly, to define arts as a profession and thereby to make a distinction between professional artists and amateurs. Artists' income and working conditions have been the subject of several studies, and many different sampling criteria have been used. Scholars have not yet achieved consensus on who should be included in the profession. In this article, we make an innovative contribution to this conversation. By applying a finite mixture model, which combines latent profile and latent class analysis, we have been able to identify different segments of artists in terms of professionalism. Each of these mutually exclusive classes is characterized by a particular income and working situation. We also include a membership function, estimated through a logistic regression, which allows prediction of the probability that an individual will belong to each class, given his/her socioeconomic characteristics. The subject of our study is Danish visual artists. The dataset consists of a combination of register data from Statistics Denmark and data collected from a questionnaire survey with 892 respondents. Based on the artists’ civil registration numbers, the two sources have been merged into a unique dataset. Our finite mixture model shows the heterogeneity among artists. Combined with a theoretically definition of arts as a profession, our research propose a distinction between professional artists and amateurs that cuts across categories used in prior literature. The results can be beneficial to cultural policy.

     

Determinants of sales and price at auction for three Australian Indigenous artists: to pool or not to pool?

Albert Namatjira (1902–1959), Emily Kame Kngwarreye (c1910–1996) and Rover (Julama) Thomas (c1926–1998) are three of Australia’s best-known Indigenous artists. Each is known for one style of painting—Namatjira for watercolor on paper, Kngwarreye for acrylic (synthetic polymer) on canvas and Thomas for natural earth pigments on canvas. We estimate a sample selectivity model using data from the Australian Art Sales Digest to study the determinants of sales and the hammer price of artworks offered at auction from these artists. The results show that pre-sale information on the artwork and auction effects are significant and that the three artists studied are very different from each other. Thus, data should not be pooled when estimating these models.