Economics and Law of Works of Art in the Single European Market

This paper is concerned with the economic analysis of the European rules on the circulation of works of art. After reviewing the relevant literature, an economic framework of the international circulation of works of art is provided (social goals, efficiency and distributive aspects, an economic rationale for a general free trade rule integrated by selective protectionism). Using this framework the European system of circulation of works of art—resulting from the combination of the Maastricht Treaty with Regulation 3911/92 and Directive 93/7—is analysed. The main results of the analysis are: 1) the general free trade principle ruling the Single European Market is strongly limited by rules protecting national artistic heritages of member states; 2) this protectionism—working towards countries both outside and inside the European Union—is applied according to the national laws of each member state, while, contrary to what the Maastricht Treaty would call for, an artistic heritage of European significance is not defined and no autonomous role is recognized in this field to European Institutions; 3) this system shows some inconsistencies with economic theory, as strict limits to trade are not provided when they should be required by the preservation of the physical or artistic integrity of works of art, while in other cases an unduly restrained trade may derive from highly protectionist national laws and export-licencing policies of member states. Enforcement provisions are also analysed and some proposals to improve the system are advanced.