The German newspaper Die Zeit recently sat down with Benjamin Mandel, an economist at the Federal Reserve Bank of New York, to ask him what the recent moves in the art market mean for the economy at large.
Though it may seem obvious, Mr. Mandel says the booming art business essentially means a greater stratification of wealth in this country. Because it’s not enough for the poor to be doing worse—though they are, with poverty levels that remain at record numbers. In order for the art market to thrive, the rich must also be doing well. Hence, growth there indicates that.