As the combination of high debt loads and unpredictable politics in the US and Europe fuel speculation about a double dip recession, commentators are divided on the effect another round of global financial turmoil would have on the art market. As Melanie Gerlis says in a recent article in The Art Newspaper: "At issue now are two diverging premises: that art is a luxury brand, as sensitive to stock markets as high-end fashion and first class flights (this is the view of people looking at the art market from the outside); or that it represents a safe investment, sought after in troubled times, much like gold and the Swiss franc (the view of those with more vested interests)." Read more...
