tailieunhanh - The Market for Sculptures: an Adjacent Year Regression Index

Owners contract with sculptors who may then employ contractors and subcontractors. Contracts define terms, conditions and responsibilities of various parties. This phase gives both sides a chance to negotiate until a mutually agreeable contract is signed. An attorney can be helpful in this phase. Standard contract considerations between the artist and owner typically include scope of services, liability, insurance, indemnification, payment schedules and timeline. In addition, the owner-sculptor contract should itemize maintenance obligations of both parties. . | The Market for Sculptures an Adjacent Year Regression Index Marilena Locatelli-Biey Department of Economics University of Torino - Italy E-mail locatell@ Roberto Zanola Department of Public Policy and Public Choice - Polis Corso Borsalino 50 - 15100 Alessandria - Italy E-mail zanola@ ABSTRACT This paper analyses the performance of an investment in sculptures during the period 1987-1995 by applying the hedonic price technique with time dummy variables to a sample of over 27 000 sales occured at auctions. The main finding is that the trend of the rate of return on an investment in sculptures is more stable than those associated to alternative forms of investment during the analysed period. JEL Classification Numbers C5 Z1. Key Words Auction Hedonic Price Sculpture Return. 1 I introduction Scuptureis theartcfprcducinginthreedimenBicnB representaticns cf natural or imagi ned forms and item braces a variety cfccnstructicn- techniques as wel I as a variety cf materials1. T he mcst important cf sculpture is based cn the rawmaterial used butitis also impcrtantthesize theforcticn and the period cfthe prcducticn. T he market for sculptures has characteristics that make it di erent from other markets for col ectibles. A Ithcugh simi lar to the market for paintings the market for scu ptures is sma l ler than it with abcut3-5 per-centcftrta l colkectiblessold ataucticns. A numbercf reascnsexplain this such as technical diCcutties and the high costs cfprcducticn as well as the factthatsculptures need apprcpriatespaces tabapa adorbecaũseof the ower numlbercfscu pture collectors than painting col lectors L ccatelii-B iey and Z anop 1999 ail T hepurpcsecfthis paperis toexaminetheinvestmentva luecfscu ptures. A tthcugh there are a number cfstudies that have i nvestigated the i nvestment valtecfcolectibles suchas paintings A nderscn 19 4 Stein 19 telensand G insburght 199 3 de la B arteet al. 199 4 Chanel 199 5 Chanel etal. 199 6 M cssedo and L