Research On The Relationship Between Economic Growth,Inflation And Art Market Price

Nearly four decades of reform and opening-up,with the vigorous development of China's economy,artworks,as a kind of investment,have been paid more and more attention and recognition by investors.Gradually,the art market also has developed into anther big investment field following the stock market and real estate market.Chinese art market price is related to the macroeconomic situation,and the economic growth rate and inflation rate which are commonly used to measure a country's macroeconomic situation are the focus of the economics profession.From the point of view of China's current economic situation,economic growth,inflation and the art market are all facing big opportunities and challenge.Therefore,finding the point of regulation,it's of theoretical and practical significance to make further research of the relationship between the three for long-term development of the art market in our country and promoting the art market to make positive effect on the macro economy.On the basis of reading the existing literature,the research idea of this paper is "theoretical analysis--empirical test--guiding practice".First of all,we definite artworks and investors in the art market from the point of investment properties of art works,and we analyze the interaction mechanism of the three using the growth accounting,fisher effect,wealth effect,expectation theories.The conclusion of theory analysis is that art investment as a part of the demand impacts on economic growth and inflation,and economic growth and inflation is the key external factors of the artworks' price.Then,in order to to verify this conclusion,on the basis of building a new Chinese art market index and vector auto-regressive model(VAR),we make the co-integration test,Granger causality test,impulse response analysis and variance decomposition and so on.The results show that there is a long-term equilibrium relationship between China's economic growth,inflation and art market price,and the correlation is positive.The change of art market price is the Granger reason of the change of inflation,which proves that the change of art market price can predict the inflation in the future.The short-term effect of inflation on the price of artworks is positive,indicating that artworks can be used as an effective tool againstinflation.The direction of the mutual influence between art market price and economic growth is uncertainty and the impact is weak,which means that the disposable income increasing caused by economic growth can not fully enter into the art market and the art market investment is not significantly positive pulling effect on economic growth.Finally,according to the research conclusion,we put forward some suggestions for the overall planning of the construction of Chinese art market.