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08/18/2008: "BLAME THE ECONOMY"

It's almost like slowing down to watch a car wreck ... you MUST see what's happening. This is the only way that I can describe my pseudo-fascination with the art market. Here's how it happens ...

I'm either flipping through the newspaper, watching television or surfing online and I come across something like ... "ARE RECESSION FEARS COOLING THE ART MARKET?" or "THE ECONOMY AND ITS CHILLING EFFECTS ON COLLECTORS." Suddenly, I slow myself down and settle in for closer examination. How can you NOT get caught up in the creative, editorial swirl?

It's funny, because I wanted to try to go to Art DC this year, but then I read that it was cancelled. That's a shame. This would've been only the second year for that fair. Why did organizers cancel it? They blamed the economy, of course.




Have you noticed that blaming the economy is the chic thing to do these days? Consumer confidence is way DOWN, inflation is way UP and what poor sap driving a pimped out S-U-V can explain gas prices? Many Americans have no real savings and we're living paycheck to paycheck ... that's if we still have our jobs. It's scary. Needless to say, blaming the economy for anything is pretty easy ... if not somewhat gratifying. You can get away with a lot by blaming the economy. If everyone's doing it, why not? Try these on for size:

"Why are you late again for work Bill?" "Oops, sorry boss! It's the economy!"
"Where's your homework assignment Sally?" "Sorry teacher! The economy ATE it!"
"Why were you speeding sir?" "Oh man! Sorry officer! The economy made me do it!"

Still, I must say that a couple of months ago, I was in the supermarket and I saw that tomatoes (organic) were like ... $3.99. Are you kidding me? All I could think was, "Are they super tomatoes that give you x-ray vision or super-sonic hearing?" That's why I planted my own. As of this writing, I have tomatoes growing out back. I'll plant 25 tomato plants before I pay that price.

When I'm not ranting over tomato prices, I'm flipping through these art magazines like Art & Auction and the weekend arts section of Financial Times (the orange newspaper that looks like it has been dunked in tomato sauce) where I often see articles that report on the art market. For the most part, these articles talk about record, multi-million dollar sales at contemporary art auctions. This is happening while fairs like Art DC have seemingly gone belly up and many collectors are tightening their wallets. These articles are so seductive. Of course, I usually stop and scan like a harried commuter who complains about traffic backups but always slows down to gaze and gawk at the car wreck. We live in a visual world. Art and the twisted metal of a car wreck ... same thing. Just ask artist John Chamberlin.

Anyway, after a few moments that I'll never get back, something always occurs to me. "Dude, you are NOT a wealthy art collector! Why do you even care about the art market?" I always ask myself. Again, it's like slowing down to see the car wreck. Why are you slowing down? Keep going. It doesn't really involve YOU.

At this point, I remind myself that it's the JOB of art publications to cover the art market because they are IN the art market. It's their lifeblood. It's in THEIR best interest to find silver linings in the worst of economic news. That's just the way it is.

So, while Art DC is blaming the economy and mid-level art collectors are blaming the economy, high-end art sales continue to soar ... thanks to wealthy collectors. They're keeping art afloat ... especially the Russian, Chinese and east Indian art markets. Wow. It must be tough being a rich bitch. In uncertain economic times, the world tugs HARD on your purse strings. Analysts depend on YOU to keep the whole economy afloat. If you don't spend, who will?

Which brings me to my point. It seems to me that the best time to buy art is like ... duh ... NOW. Everyone is blaming the economy for their poor financial performance and everyone needs money to survive. Maybe you can get some good deals. In some areas of the economy, it's a buyer's market. If you're an entry level or mid-range collector, perhaps you should shift your focus to include younger emerging artists. Perhaps you should focus on drawings on paper rather than canvas pieces. I don't know. Figure it out! Many of the artists I know don't even really follow the "art market" anyway. They're struggling in both the best and worst of times so it doesn't make much difference to them. We should NOT try to take advantage of them because they have to live just like everyone else. They should get the best possible prices for their hard work. However, perhaps you'll find them more affordable. You won't bust your budget, you'll be supporting talented, deserving artists and you'll keep money flowing in the economy. I'd like to keep doing this myself.

Okay, let's see. With the money I'm saving by growing my own tomatoes, I can buy a couple of works on paper from artist Miguel Angel Avila Melendez. Hmm. Here's my economic forecast. If the plants keep producing, I should be able to buy those drawings in 2019. Great!

MICHAEL CORBIN IS AN AVID ART COLLECTOR AND AUTHOR OF THE NEW BOOK, "THE ART OF EVERYDAY JOE: A COLLECTOR'S JOURNAL." CHECK IT OUT AT WWW.ARTMAESTROGALLERY.COM

Replies: 8 Comments

on Tuesday, September 16th, Micaela said

Nice note, Michael. Art DC is just one of quite a few "economy" casualties on the art fair scene this year. Bridge London scheduled for Oct 2008 was cancelled too. The funny thing is that I thought the European economy was doing great!?

on Saturday, September 6th, London Restaurants said

Hi,

It is a nice post Michael.Political crisis will also damage the art work.so everyone need to maintain the quality of the arts to keep the power of humanities.There need too many exhibitions to promote that arts work before common people.

Regards
Gopal

on Thursday, September 4th, A. from Russia said

I've been reading this blog for some time now, and find it quite interesting. This post about economy is quite what I feel too - and just thought that it's interesting that there are people who share the same feeling although being far away from the place and country where I live (which is Russia).

Moreover, I suppose it is not just economy that pops up every time in front of the eyes of those who want to see more art. It is also politics. Now the news everywhere are overwhelmed with whatever is going on between NATO and Russia, etc. - and that truly hurts the amount of art news. Looks like ecomony and politics both are eating art. And I so much dislike this situation...as it drags the minds away from something beyond our everyday argues.

PS How I hate politics...especially when it tries to substitute art.

on Saturday, August 23rd, Fashion Jewelry said

I do blame the economy both as an artist and as a collector.

First as a collector: Cost of living has gone up and disposable income has gone down. I would rather have a beautiful work of art than a fancy car, but we as collectors are spending less. I have little faith in our government and that makes me want to hold on to my cash more than I did in previous (pre-Bush administration) years.

Second as an artist: My wife and I have the top rated internet glass jewelry site, www.trezora.com. Let's just say that traffic is slow and sales even slower. We also used to do many art shows (retail and wholesale) and the shows really went downhill over the last 8 years. We would talk to other artists and the common theme was "we've been doing this show for many years and it has never been this slow".

One can always find success and there is some aspect that as mentioned above is in our control, but the economy is a significant factor that affects our businesses and spending habits.

Good luck to all collectors and artists alike.

Mendy

on Wednesday, August 20th, Ellen said

It's a question of priorities. I recently went to a gallery I show/sell at in New Hampshire, where the economy is very depressed, and the owner told me that sales continue because sometimes people would rather buy a work of art than take a vacation. It's an investment for their future. The collector can look at the artwork for years to come rather than spending a week in Hawaii. Nothing against Hawaii, but there are others who would buy art over dinning out for six months....Like anything else: it depends on one's needs. For some, a piece of art on the wall is necessary. But I do think random spending at art fairs or galleries has, to an extent, altered because of the tough economic times in which we live.

on Wednesday, August 20th, Andrew said

Over here in Greece, they're buying. Not from me, as of yet, but I have seen some sales. Hard to tell if they're real though. Doesn't take much to put a couple of red stickers on at an opening. What I saw as I walked into one gallery was, half the hanging works had been sold, seemed like as the doors opened. A week later, there weren't any new ones. I know it's a trick gallerists use to work the crowd, to pre-sell art and then rush to put the stickers on as they crowd watch. Hard to tell, but one way or another, I think the pieces were actually paid for.
I have sold works on a ten-year, easy payment plan, making it possible to buy for people who otherwise couldn't. Like those SUV's. For me, it helps to steady out my income, but it is risky. Less, though, than consignment to someone you don't know VERY well.
Hard economic times? There are people who profit from that, too, and most of them are big time art collectors.

on Monday, August 18th, Olga said

Wow, Brad! You've bought Frank Ettenberg's abstract painting! I love his abstracts!

on Monday, August 18th, Brad Michael Moore said

Thanks for the blog, Michael. Yes, times are tough - that makes it a good time for art collectors - I just purchased an Frank Ettenberg abstract from a Santa Fe Gallery showing a retrospective collection of his work. They will let me pay it out. That helps me, Frank, and the Gallery - a plus for the economy. Meanwhile, I have several exhibitions set into the future to work towards with my 2 & 3-d art. Works of Art, artists, buyers and sellers of art, will never go out of business - when times are, "Lean," the best will continue to shine, and the serious will remain standing...