TY - JOUR
T1 - Colors, Emotions, and the Auction Value of Paintings
AU - Ma, Marshall Xiaoyin
AU - Noussair, Charles N.
AU - Renneboog, Luc
N1 - Publisher Copyright:
© 2021 Elsevier B.V.
PY - 2022/2
Y1 - 2022/2
N2 - We study pricing in the art auction market, focusing on the impact of color composition in non-figurative paintings on hammer prices and willingness-to-pay, by means of both field and laboratory data. Our field data, consisting of art auction prices, reveal a color hierarchy reflected in hammer prices: a one standard deviation increase in the percentage of blue (red) hue triggers a premium of 10.63% (4.20%). We conducted laboratory experiments in the US, China, and Europe, and elicited participants’ willingness-to-pay and measured emotions. We find that blue and red paintings command a premium: blue (red) paintings generate 18.57% (17.28%) higher bids. Color influences prices through the channel of emotional pleasure rather than arousal. Our results are consistent across all three cultures and independent of individual traits such as gender, risk aversion, education and cultural background.
AB - We study pricing in the art auction market, focusing on the impact of color composition in non-figurative paintings on hammer prices and willingness-to-pay, by means of both field and laboratory data. Our field data, consisting of art auction prices, reveal a color hierarchy reflected in hammer prices: a one standard deviation increase in the percentage of blue (red) hue triggers a premium of 10.63% (4.20%). We conducted laboratory experiments in the US, China, and Europe, and elicited participants’ willingness-to-pay and measured emotions. We find that blue and red paintings command a premium: blue (red) paintings generate 18.57% (17.28%) higher bids. Color influences prices through the channel of emotional pleasure rather than arousal. Our results are consistent across all three cultures and independent of individual traits such as gender, risk aversion, education and cultural background.
KW - Auction markets
KW - alternative investments
KW - art investment
KW - cultural economics
KW - experimental economics
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U2 - 10.1016/j.euroecorev.2021.104004
DO - 10.1016/j.euroecorev.2021.104004
M3 - Article
AN - SCOPUS:85122261911
SN - 0014-2921
VL - 142
JO - European Economic Review
JF - European Economic Review
M1 - 104004
ER -