Art prices soar

"Three Studies of Lucien Freud" by Francis Bacon is the priciest art purchase ever to have come under the hammer. An anonymous buyer purchased the trio of paintings for $142.4 million. "The prices of works by the 100 best-known artists in the world have recently risen significantly," said Karl M. Arnold, the owner of an auction house in Frankfurt.

In May 2012, Edvard Munch's famous work, "The Scream," was auctioned for $119.9 million. Why do people pay so much money for art? "Art is mobile; people like art," explained Arnold, a third-generation auctioneer. "And with works by famous artists, there's hope that the value will remain stable or increase. Artworks are like an investment."

Pablo Picasso painted "Nude, Green Leaves and Bust" on a single day in the year 1932. If he were still alive today, he would be a millionaire. The unclothed lady is the third most expensive painting ever auctioned. An anonymous telephone bidder paid $106.5 million for the work, which depicts the artist's lover.

"Private sales can't always be traced. With auctions, however, the sale is witnessed by other people," said Arnold. The $259 million paid for Paul Cézanne's "The Card Players" was not officially recorded, but would have by far been the highest price ever paid for a painting. "Tax evasion can occur when private sales are carried out without transparency," warned the auctioneer.

Gustav Klimt's "Adele Bloch-Bauer I" was sold privately in 2006 for $135 million. Unlike Cézanne's "The Card Player," this sale was conducted officially. Willem de Kooning's "Woman III," sold for $137.5 million, is also among the highest-value private sales. Jackson Pollock's "No. 5," topped them all, however, selling for $140 million.

The loud, large and expensive "Balloon Dog" by American artist Jeff Koons brought in $58.4 million at an auction in November 2013. The dog is reminiscent of the balloon animals that clowns typically twist for children. Koons' artwork is larger-than-life and made of steel. The artist has a penchant for works that resemble oversized toys or everyday objects.

Before Jeff Koons' "Balloon Dog," German artist Gerhard Richter was the world's most expensive artist. Richter himself doesn't think much of such prices. "There is a complete disproportion between the value and the relevance of art and the crazy prices that are paid for it," he told German magazine "Der Spiegel." Pictured is Richter's "Domplatz, Mailand" ("Cathedral Square, Milan").

Damien Hirst earns millions with his art - and is as controversial as he is wealthy. He made a name for himself with his provocative sculptures which deal with topics like death, life, religion and consumerism. His most famous works include a shark placed in formaldehyde and a diamond-encrusted skull entitled "For the Love of God."

About four years ago, "Walking Man I" by Alberto Giacometti went under the hammer fro $104.3 million. "You bid against the market and the highest bidder receives the premium. The price of the artwork is carried by the market," explained auctioneer Arnold. "Art is an economic factor like fashion and follows the capitalistic principles of supply and demand."