When Will The Art Bubble Burst?

An economic bubble is trade in high volumes at prices that are considerably above the intrinsic value of the product or service in question. In other words an economic bubble is the exchange of products or assets at inflated prices. Some of the more notorious economic bubbles in recent years have been in assorted property markets – with crashes in the value of property occurring from 2005 onwards in various markets around the world. The US property bubble in particular – and the sub-prime mortgages tied to it – sparked the current financial crisis and could also be said to have burst the banking and financial industries bubble.

Fearing that stocks and bonds are too volatile some investors have diversified into collectibles that range from old master paintings to expensive wines by way of rare coins and stamps. In a capitalist economy there is no safe investment – speculative investment works on the basis that what goes up must come down. Blue-chip art is currently over-valued and will deflate at some point – the question is simply when…

And while you’re at it don’t forget to check – www.stewarthomesociety.org – you know it makes (no) sense!

About mistertrippy

Stewart Home was born in south London in 1962. His mother Julia Callan-Thompson was a showgirl and club hostess. He has never held down a regular job for more than a few months at a time. On those rare occasions when he's been forced to work, Home has taken employment as a factory labourer, agricultural labourer, shop assistant, office clerk and art class model. Deciding he didn't like working in factories as a teenager, Home pursued cultural and political interests, writing many books and participating in even more gallery exhibitions.
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20 thoughts on “When Will The Art Bubble Burst?

  1. Danny Pockets says:

    the collapse of thee art market is the beginning surely?

  2. mistertrippy says:

    I think so – the difficulty is the very small club of super rich involved…. the runs take longer to start on relatively smaller markets…

  3. Danny Pockets says:

    oh well, we’ll just get going without them, they won’t notice anyway….

  4. Lucy Johnson says:

    The whole thing is tacky as hell. That is all I have to say at the moment. But thanks for another interesting post.

  5. Michael Roth says:

    Unfortunately, my bubble burst years ago.

  6. Kenneth Davidson says:

    fucking shoreditch

  7. David Moss says:

    Fucking Shoreditch by Thee Art Markets.

  8. Kes Forrester says:

    ?’La Belle End’ would be a good name for an art gallery.

  9. Kenneth Davidson says:

    blue note capitalism

  10. Douglas Park says:

    what if bursting bubbles / collapsing etc becomes a sector / industry / investment / bet fodder?

  11. Kenneth Davidson says:

    that is known as “risk management”, hedge funding & 5th generation insurance. fucking blue note capitalism

  12. David Moss says:

    and all the project spaces re bubble back into pie and mash shops

  13. Danny Pockets says:

    aha! as they say round my way; “It’s all a terrible circle.”

  14. Kenneth Davidson says:

    festival of five pound capitalism

  15. mistertrippy says:

    Will that be taking place at Poundland after the effects of stagflation from the current recession really kick in?

  16. Willie Small says:

    Stick to bubble and squeak – the only risk is you bursting yourself if you eat way too much of it!

  17. Charles Thompson says:

    You’re having a bubble bath… art is priceless so you can’t beat that price till it hurts!

  18. The Man in the Iron Mask says:

    What’s in your bubble bath that it hurts so – razor blades?… But let us get out the razor blades, hammers and flame-throwers and use them to good purpose – against Art. Yes, the capitalist market has given art a pompous capital letter. You thought God was dead? No, he/she/it has been resurrected as a painting/rotting shark/demirep’s bed. Search and Destroy. Kill a ‘creative’, burst the bubble of religiosity. All hail a second wave of iconoclasm to match the 16c first wave when Protestant headbangers smashed the religious fetish objects of the Catholic Church. [Yes, I know: I can’t count waves as there was some image-breaking action in Byzantium.]… Do not fear the death of art because it’s of no consequence like God – who Lautreamont likened to a pubic hair floating in a chamber-pot under the bed of a Parisian prostitute.

  19. mistertrippy says:

    Or as Black Mask/UAWM put it back in the sixties – “Art is dead baby, burn the museums….”

  20. Chus Martinez says:

    Art is sanctioned pornography!