The New York Times’s Holland Cotter chronicles the New York Art market’s ups, downs and regenerations in this celebration of the persistence of art:

The contemporary art market, with its abiding reputation for foggy deals and puffy values, is a vulnerable organism, traditionally hit early and hard by economic malaise. That’s what’s happening now. Sales are vaporizing. Careers are leaking air. Chelsea rents are due. The boom that was is no more.

Anyone with memories of recessions in the early 1970s and late ’80s knows that we’ve been here before, though not exactly here. There are reasons to think that the present crisis is of a different magnitude: broader and deeper, a global black hole. Yet the same memories will lend a hopeful spin to that thought: as has been true before, a financial scouring can only be good for American art, which during the present decade has become a diminished thing.

The diminishment has not, God knows, been quantitative. Never has there been so much product. Never has the American art world functioned so efficiently as a full-service marketing industry on the corporate model. [ . . . ]

And where is art in all of this? Proliferating but languishing. “Quality,” primarily defined as formal skill, is back in vogue, part and parcel of a conservative, some would say retrogressive, painting and drawing revival. And it has given us a flood of well-schooled pictures, ingenious sculptures, fastidious photographs and carefully staged spectacles, each based on the same basic elements: a single idea, embedded in the work and expounded in an artist’s statement, and a look or style geared to be as catchy as the hook in a rock song.

The ideas don’t vary much. For a while we heard a lot about the radicalism of Beauty; lately about the subversive politics of aestheticized Ambiguity. Whatever, it is all market fodder. The trend reached some kind of nadir on the eve of the presidential election, when the New Museum trotted out, with triumphalist fanfare, an Elizabeth Peyton painting of Michelle Obama and added it to the artist’s retrospective. The promotional plug for the show was obvious. And the big political statement? That the art establishment voted Democratic.

The Boom is Over. Long Live Art! (The New York Times)