Contemporary art and financialization: Two approaches

This essay identifies two approaches to theorizing the relationship between financialization and contemporary art. The first departs from an analysis of how market logics in non-financial spheres are being transformed to facilitate financial circulation; the other considers valuation practices in fi...

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Main Author: Victoria Ivanova
Format: Article
Language:English
Published: Cambridge University Press 2016-01-01
Series:Finance and Society
Subjects:
Online Access:https://www.cambridge.org/core/product/identifier/S2059599900000261/type/journal_article
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author Victoria Ivanova
author_facet Victoria Ivanova
author_sort Victoria Ivanova
collection DOAJ
description This essay identifies two approaches to theorizing the relationship between financialization and contemporary art. The first departs from an analysis of how market logics in non-financial spheres are being transformed to facilitate financial circulation; the other considers valuation practices in financial markets (and those related to derivative instruments in particular) from a socio-cultural perspective. According to the first approach, the contemporary art market is in theory a hostile environment for financialization, although new practices are emerging that are increasing its integration with the financial sphere. The second approach identifies socio-cultural similarities between the logics by which value is extracted, amplified, and distributed through derivative instruments and contemporary art. The two approaches present a discrepancy: on the one hand, contemporary art functions as an impediment to outright financialization because of market opacity; on the other, contemporary art represents a socio-cultural analog to derivative instruments. The essay concludes by setting out the terms for a more holistic understanding of contemporary art's relationship to financialization, which would enable an integration of its economic and socio-cultural dimensions.
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spelling doaj.art-601d5cd0cf3348f3866961f1e48b4fd42024-03-20T08:20:15ZengCambridge University PressFinance and Society2059-59992016-01-01212713710.2218/finsoc.v2i2.1726Contemporary art and financialization: Two approachesVictoria Ivanova0Goldsmiths, University of London, UKThis essay identifies two approaches to theorizing the relationship between financialization and contemporary art. The first departs from an analysis of how market logics in non-financial spheres are being transformed to facilitate financial circulation; the other considers valuation practices in financial markets (and those related to derivative instruments in particular) from a socio-cultural perspective. According to the first approach, the contemporary art market is in theory a hostile environment for financialization, although new practices are emerging that are increasing its integration with the financial sphere. The second approach identifies socio-cultural similarities between the logics by which value is extracted, amplified, and distributed through derivative instruments and contemporary art. The two approaches present a discrepancy: on the one hand, contemporary art functions as an impediment to outright financialization because of market opacity; on the other, contemporary art represents a socio-cultural analog to derivative instruments. The essay concludes by setting out the terms for a more holistic understanding of contemporary art's relationship to financialization, which would enable an integration of its economic and socio-cultural dimensions.https://www.cambridge.org/core/product/identifier/S2059599900000261/type/journal_articleArt marketcontemporary artderivativesfinancializationopacity
spellingShingle Victoria Ivanova
Contemporary art and financialization: Two approaches
Finance and Society
Art market
contemporary art
derivatives
financialization
opacity
title Contemporary art and financialization: Two approaches
title_full Contemporary art and financialization: Two approaches
title_fullStr Contemporary art and financialization: Two approaches
title_full_unstemmed Contemporary art and financialization: Two approaches
title_short Contemporary art and financialization: Two approaches
title_sort contemporary art and financialization two approaches
topic Art market
contemporary art
derivatives
financialization
opacity
url https://www.cambridge.org/core/product/identifier/S2059599900000261/type/journal_article
work_keys_str_mv AT victoriaivanova contemporaryartandfinancializationtwoapproaches