Art or Vandalism?

Looney toons?

Neither. An actual pit that the dang no good rotten gubmint ain't doin nuttin about.

Anxiety attack.

Neither. Obviously it was intentional but all it is is some gradient to look like a pit. And it's not vandalism because the ground is expected to be messed up with things like oil stains or tire tracks.

Vandalism if it's done without permission

This would make me really confused if I was there trying to walk

It somewhat depends- either way, if this isn’t in a controlled installation it’s foolish. Many people such as older folks could have trouble distinguishing this from an actual pit, in panic or trying to avoid it they could hurt themselves or others, or have some mental or physical reaction. While I think it’s neat, these are the sorts of things that an inclusive society must think about, how a thing may effect others.

Imagine just driving on to the spot then beginning to fall