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A computational model for the distribution of wealth among the members of an ideal society is presented. It is determined that a realistic distribution of wealth depends upon two mechanisms: an asymmetric flux of wealth in trading…

Statistical Mechanics · Physics 2008-12-02 Nicola Scafetta , Sergio Picozzi , Bruce J. West

We propose a generic Bayesian framework for inference in distributional regression models in which each parameter of a potentially complex response distribution and not only the mean is related to a structured additive predictor. The latter…

Applications · Statistics 2015-09-18 Nadja Klein , Thomas Kneib , Stefan Lang , Alexander Sohn

A microeconomic model is developed, which accurately predicts the shape of personal income distribution (PID) in the United States and the evolution of the shape over time. The underlying concept is borrowed from geo-mechanics and thus can…

Statistical Finance · Quantitative Finance 2009-03-03 Ivan O. Kitov

This paper introduces nonparametric econometric methods that characterize general power law distributions under basic stability conditions. These methods extend the literature on power laws in the social sciences in several directions.…

Economics · Quantitative Finance 2016-06-07 Ricardo T. Fernholz

In this paper we present detailed simulation results on the wealth distribution model with quenched saving propensities. Unlike other wealth distribution models where the saving propensities are either zero or constant, this model is not…

Physics and Society · Physics 2008-12-02 K. Bhattacharya , G. Mukherjee , S. S. Manna

Using CPS data for 1976 to 2022 we explore how wage inequality has evolved for married couples with both spouses working full time full year, and its impact on household income inequality. We also investigate how marriage sorting patterns…

Econometrics · Economics 2023-10-13 Iván Fernández-Val , Aico van Vuuren , Francis Vella

Zipf's law is one the most conspicuous empirical facts for cities, however, there is no convincing explanation for the scaling relation between rank and size and its scaling exponent. Based on the idea from general fractals and scaling,…

Physics and Society · Physics 2018-12-20 Yanguang Chen

We consider an ideal closed stock market, in which 100 traders have economic activities. The assets of the traders change through buying and selling stocks. We simulate the assets under conservation of both total currency and total number…

Statistical Mechanics · Physics 2008-12-10 Yoshikazu Ohtaki , Hiroshi H. Hasegawa

We determine the distribution of size and growthrates of German business firms in 1987-1997. We find a log-normal size distribution. The distribution of growth rates has fat tails. It can be fitted to an exponential in a narrow central…

Statistical Mechanics · Physics 2008-12-02 Johannes Voit

In a recent paper in this journal [J. Stat. Mech. (2009) P02037] we proposed a new, physically motivated, distribution function for modeling individual incomes having its roots in the framework of the k-generalized statistical mechanics.…

General Finance · Quantitative Finance 2012-12-07 F. Clementi , M. Gallegati , G. Kaniadakis

Apparently random events in nature often reveal hidden patterns when analysed using diverse and robust statistical tools. Power-law distributions, for example, project diverse natural phenomenon, ranging from earthquakes1 to heartbeat…

Economic inequality emerges from the interplay between regional growth-rate differences and the interaction network that couples regions. We propose a minimal income-dynamics model, where heterogeneity is governed by growth-rate…

Statistical Mechanics · Physics 2026-05-14 Jaeseok Hur , Meesoon Ha , Hawoong Jeong

We present a detailed description of seismic activity in Romania, Italy, and Japan, as well as the California seismic zone in the United States of America, based on the statistical analysis of the underlying earthquake networks used to…

Computational Physics · Physics 2024-03-12 Gabriel Tiberiu Pană , Alexandru Nicolin-Żaczek

In this note an assessment of the condition \(K_w/K=S_w/S\) is made to interpret its meaning to the Passineti's theory of distribution\cite{pasinetti1962rate}. This condition leads the theory to enforce the result \(s_w\rightarrow0\) as…

General Economics · Economics 2021-04-13 A Jayakrishnan , Anil Lal S

We propose a methodological framework to study the dynamics of inter-regional investment flow in Europe from a Complex Networks perspective, an approach with recent proven success in many fields including economics. In this work we study…

Physics and Society · Physics 2009-10-21 Stefano Battiston , João F. Rodrigues , Hamza Zeytinoglu

A deterministic system of interacting agents is considered as a model for economic dynamics. The dynamics of the system is described by a coupled map lattice with near neighbor interactions. The evolution of each agent results from the…

General Finance · Quantitative Finance 2009-11-13 J. Gonzalez-Estevez , M. G. Cosenza , R. Lopez-Ruiz , J. R. Sanchez

The average and median income dependence on work experience and time is analyzed and modeled for the USA. The original data set providing the mean and median income estimates in 10 year long intervals spans a long time period of almost 35…

General Finance · Quantitative Finance 2008-12-02 Ivan O. Kitov

This paper explores a real-world fundamental theme under a data science perspective. It specifically discusses whether fraud or manipulation can be observed in and from municipality income tax size distributions, through their aggregation…

Statistical Finance · Quantitative Finance 2018-05-22 Marcel Ausloos , Roy Cerqueti , Tariq A. Mir

Ratios of sample percentiles or of quantiles based on a single sample are often published for skewed income data to illustrate aspects of income inequality, but distribution-free confidence intervals for such ratios are to our knowledge not…

Methodology · Statistics 2017-02-01 Luke A. Prendergast , Robert G. Staudte

The problem of making sequential decisions in unknown probabilistic environments is studied. In cycle $t$ action $y_t$ results in perception $x_t$ and reward $r_t$, where all quantities in general may depend on the complete history. The…

Artificial Intelligence · Computer Science 2007-05-23 Marcus Hutter