by Karen Francis

Abstract 

Two artists each have total auction sales greater than AU$10 million in a single decade. In that same market and decade, over 20% of painters failed to sell a single painting offered at auction. There is no question that superstars dominate the Aboriginal Desert Paintings Market (ADPM) in Australia. But what contributes to the emergence of stars and superstars in this market? A gap has been left in the literature explaining superstardom; no mechanism for the emergence of stars in the visual arts has been offered. This study presents specific empirical characteristics and structural features of the ADPM which generate constraints and incentives for dealers and auction houses. The expected responsive behavior of these players is mostly confirmed by evidence presented in this study. The general picture that emerges is of a three-way tacit agreement by dealers (with government support), buyers and auction houses in promoting early success, reinforcing demonstrated market appeal by the few, and helping accelerate the shift of stars and the few real superstars from the primary to the auction market.

Professor Neil De Marchi, Faculty Advisor

JEL Codes: N27, P4, Z33

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