The law of conservation of mass tells us that matter cannot be created or destroyed - matter can only be rearranged.
There is no law of conservation of value. Value can in fact be created, and it is precisely the rearranging of matter that creates value.
In Shaping Things (PDF here), Bruce Sterling notes that one of the distinguishing characteristics of mankind is our unparalleled ability to create rubbish. Rubbish is what happens when we rearrange matter to a form where it no longer contains any value. Not any we can intuitively infer, at any rate - in fact this principle is precisely what Justin Gignac takes advantage of in the above. Not many have the ability to rearrange what is typically rubbish into a form that captures value. It's not intuitive, and therefore this transformation is scarce, and as you remember, scarcity is value.
If you'd like a definition of art, it is the value that is captured in the rearranging of otherwise disorganized and valueless things. It's is precisely why art is valuable, because it is an act which is not easily subject to replication.
(The rearranging of ideas creates value, as well - this results in what we call "rules." I'll expand on this later, but if you'd like you can listen to Paul Romer talk about the manipulation of matter and ideas in A Theory of History, With an Application.)
