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A money-based model for the power law distribution (PLD) of wealth in an economically interacting population is introduced. The basic feature of our model is concentrating on the capital movements and avoiding the complexity of micro…

Other Condensed Matter · Physics 2009-11-10 Yan-Bo Xie , Bo Hu , Tao Zhou , Bing-Hong Wang

We investigate spatial dependence in Zipf's law for cities among the OECD countries. The aim is to identify an upper tail of the distribution that follows a power law (Pareto) but is perturbed by spatial autocorrelation, as indicated by a…

Physics and Society · Physics 2025-04-01 Rolf Bergs , Uwe Neumann

This paper explores a decentralisation initiative in the United Kingdom - the Northern Powerhouse strategy (NPS) - in terms of its main goal: strengthening connectivity between Northern cities of England. It focuses on economic interactions…

General Economics · Economics 2021-03-17 Natalia Zdanowska , Robin Morphet

We propose new goodness-of-fit tests for the Pareto type I distribution. These tests are based on a multiplicative version of the memoryless property which characterises this distribution. We present the results of a Monte Carlo power study…

Methodology · Statistics 2024-01-26 Lethani Ndwandwe , James Allison , Leonard Santana , Jaco Visagie

In this paper we analyze urban spatial segregation phenomenon in terms of the income distribution over a population, and inflationary parameter weighting the evolution of housing prices. For this, we develop a discrete, spatially extended…

Adaptation and Self-Organizing Systems · Physics 2007-08-29 Antonio Aguilera , Edgardo Ugalde

Power-law distributions are common, particularly in social physics. Here, we explore whether power-laws might arise as a consequence of a general variational principle for stochastic processes. We describe communities of 'social particles',…

Physics and Society · Physics 2011-12-30 G. J. Peterson , K. A. Dill

This paper investigates properties of the class of graphs based on exchangeable point processes. We provide asymptotic expressions for the number of edges, number of nodes and degree distributions, identifying four regimes: (i) a dense…

Statistics Theory · Mathematics 2025-02-06 François Caron , Francesca Panero , Judith Rousseau

Income and wealth distribution affect stability of a society to a large extent and high inequality affects it negatively. Moreover, in the case of developed countries, recently has been proven that inequality is closely related to all…

General Finance · Quantitative Finance 2016-03-29 Elvis Oltean , Fedor Kusmartsev

We discuss several models in order to shed light on the origin of power-law distributions and power-law correlations in financial time series. From an empirical point of view, the exponents describing the tails of the price increments…

Condensed Matter · Physics 2007-05-23 Jean-Philippe Bouchaud

This paper studies the widespread price dispersion of homogeneous products across different online platforms, even when consumers can easily access price information from comparison websites. We collect data for the 200 most popular hotels…

General Economics · Economics 2023-10-20 Debashrita Mohapatra , Debi Prasad Mohapatra , Ram Sewak Dubey

I show that house prices can be modeled using machine learning (kNN and tree-bagging) and a small dataset composed of macro-economic factors (MEF), including an inflation metric (CPI), US treasury rates (10-yr), Gross Domestic Product…

Statistical Finance · Quantitative Finance 2025-05-16 Nicolas Houlié

We model a closed economic system with interactions that generates the features of empirical wealth distribution across all wealth brackets, namely a Gibbsian trend in the lower and middle wealth range and a Pareto trend in the higher…

General Finance · Quantitative Finance 2008-12-02 Marisciel L. Palima , Eduardo J. David

In this article we discuss the distribution of asset price movements by the market potential function. From the principle of free energy minimization we analyze two different kinds of market potentials. We obtain a U-shaped potential when…

Statistical Finance · Quantitative Finance 2014-03-14 Dong Han Kim , Stefano Marmi

Power laws and power laws with exponential cut-off are two distinct families of distributions on the positive real half-line. In the present paper, we propose a unified treatment of both families by building a family of distributions that…

This work presents an empirical study of the evolution of the consumer expenditure distribution in India during 1982-2007. We have used the National Sample Survey Organization data and analysed the expenditure distribution for the urban and…

General Finance · Quantitative Finance 2010-07-09 Abhik Ghosh , Kausik Gangopadhyay , B. Basu

This article is a supplement to my main contribution to the Routledge Handbook of Complexity Economics (2023). On the basis of three recent papers, it presents an unconventional perspective on economic inequality from a statistical physics…

General Economics · Economics 2023-07-06 Victor M. Yakovenko

Homeowners, first-time buyers, banks, governments and construction companies are highly interested in following the state of the property market. Currently, property price indexes are published several months out of date and hence do not…

Applications · Statistics 2020-09-23 Robert Miller , Phil Maguire

This paper considers the ideal gas-like model of trading markets, where each individual is identified as a gas molecule that interacts with others trading in elastic or money-conservative collisions. Traditionally this model introduces…

General Finance · Quantitative Finance 2009-06-13 Carmen Pellicer-Lostao , Ricardo Lopez-Ruiz

The nature of fluctuations in the Indian financial market is analyzed in this paper. We have looked at the price returns of individual stocks, with tick-by-tick data from the National Stock Exchange (NSE) and daily closing price data from…

Physics and Society · Physics 2012-01-12 Sitabhra Sinha , Raj Kumar Pan

Cities are complex systems, their complexity manifests itself through fractality of their spatial structures and by power law distributions (scaling) of multiple urban attributes. Here we report on the previously unreported manifestation of…

Physics and Society · Physics 2021-02-03 Tomasz F. Stepinski , Anna Dmowska
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