Modelling aesthetic variables in the valuation of paintings: an interval goal programming approach

Abstract

The economic valuation of works of art is a decisive subject in the general field of valuation. Unlike in other areas of valuation, the explanatory power of the directly observable and quantifiable variables is very low, therefore, aesthetic criteria must be used to obtain valuation models with a greater explanatory power. Frequently, these aesthetic criteria are not always precise, and experts usually express them as an interval of values. This paper describes different valuation models that use the goal programming optimisation method to include explanatory variables of the closing price in the form of intervals of values. We have also modelled the possibility that an expert can determine the relevance of each observation in the formation of the valuation function depending on the degree of precision with which the variables have been defined.

Keywords:

• aesthetic variables
• interval goal programming
• investment
• paintings
• valuation

Acknowledgements

This paper has benefited from discussions with Carlos Romero and comments from two anonymous referees of this journal. The authors thank Debra Westall and AAL service from Universidad Politécnica de Valencia for their assistance in preparing this manuscript.