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Related papers: Economic inequality and mobility in kinetic models…

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In this paper we explore the dynamic relationship between income inequality and economic mobility through a pairing of a population-scale partial differential equation (PDE) model and an associated individual-based stochastic differential…

Physics and Society · Physics 2025-03-25 Scott A. McKinley , Gary A. Hoover

We investigate the effect of tax evasion on the income distribution and the inequality index of a society through a kinetic model described by a set of nonlinear ordinary differential equations. The model allows to compute the global…

General Finance · Quantitative Finance 2014-08-25 Maria Letizia Bertotti , Giovanni Modanese

We formulate a flexible micro-to-macro kinetic model which is able to explain the emergence of income profiles out of a whole of individual economic interactions. The model is expressed by a system of several nonlinear differential…

Economics · Quantitative Finance 2016-11-28 Maria Letizia Bertotti , Giovanni Modanese

In this article, we discuss a dynamical stochastic model that represents the time evolution of income distribution of a population, where the dynamics develop from an interplay of multiple economic exchanges in the presence of…

Economics · Quantitative Finance 2017-02-28 Maria Letizia Bertotti , Amit K Chattopadhyay , Giovanni Modanese

We examine whether mobility measures appropriately represent changes in individual status, like income or ranks. We suggest three elementary principles for mobility comparisons and show that many commonly used indices violate one or more of…

General Economics · Economics 2025-02-28 Frank A. Cowell , Emmanuel Flachaire

We explore the role of non-ergodicity in the relationship between income inequality, the extent of concentration in the income distribution, and mobility, the feasibility of an individual to change their position in the income distribution.…

General Economics · Economics 2022-04-27 Viktor Stojkoski , Petar Jolakoski , Arnab Pal , Trifce Sandev , Ljupco Kocarev , Ralf Metzler

The sustainability of cooperation is crucial for understanding the progress of societies. We study a repeated game in which individuals decide the share of their income to transfer to other group members. A central feature of our model is…

General Economics · Economics 2025-10-31 Pau Juan-Bartroli , Esteban Muñoz-Sobrado

In this paper, we investigate the economic mobility in some money transfer models which have been applied into the research on wealth distribution. We demonstrate the mobility by recording the time series of agents' ranks and observing…

Physics and Society · Physics 2009-11-11 Ning Ding , Ning Xi , Yougui Wang

Microscopic models describing a whole of economic interactions in a closed society are considered. The presence of a tax system combined with a redistribution process is taken into account, as well as the occurrence of tax evasion. In…

General Finance · Quantitative Finance 2017-01-11 M. L. Bertotti , G. Modanese

In the last decade, a large body of literature has been developed to explain the universal features of inequality in terms of income and wealth. By now, it is established that the distributions of income and wealth in various economies show…

General Finance · Quantitative Finance 2016-11-25 Anindya S. Chakrabarti , Bikas K. Chakrabarti

Our computational economic analysis investigates the relationship between inequality, mobility and the financial accumulation process. Extending the baseline model by Levy et al., we characterise the economic process through stylised return…

General Economics · Economics 2020-02-20 Simone Righi , Yuri Biondi

In this paper, we study the inequality indices for some models of wealth exchange. We calculated Gini index and newly introduced k-index and compare the results with reported empirical data available for different countries. We have found…

Physics and Society · Physics 2016-03-21 Asim Ghosh , Arnab Chatterjee , Jun-ichi Inoue , Bikas K. Chakrabarti

In this invited book chapter, we draw the reader to a brief review of the different Kinetic Exchange Models (KEMs) that have gradually developed for markets and how they can be employed to quantitatively study inequalities (the Gini Index…

Physics and Society · Physics 2023-10-31 Sanjukta Paul , Bikas K. Chakrabarti

The Gini index signals only the dispersion of the distribution and is not very sensitive to income differences at the tails of the distribution. The widely used index of inequality can be adjusted to also measure distributional asymmetry by…

Econometrics · Economics 2022-09-15 Mario Schlemmer

Increasingly, a huge amount of statistics have been gathered which clearly indicates that income and wealth distributions in various countries or societies follow a robust pattern, close to the Gibbs distribution of energy in an ideal gas…

General Finance · Quantitative Finance 2009-11-13 Arnab Chatterjee , Bikas K. Chakrabarti

A society or country with income equally distributed among its people is truly a fiction! The phenomena of socioeconomic inequalities have been plaguing mankind from times immemorial. We are interested in gaining an insight about the…

General Finance · Quantitative Finance 2018-08-07 Kiran Sharma , Subhradeep Das , Anirban Chakraborti

Classical measures of inequality use the mean as the benchmark of economic dispersion. They are not sensitive to inequality at the left tail of the distribution, where it would matter most. This paper presents a new inequality measurement…

Econometrics · Economics 2022-09-13 Mario Schlemmer

Wealth distribution is a complex and critical aspect of any society. Information exchange is considered to have played a role in shaping wealth distribution patterns, but the specific dynamic mechanism is still unclear. In this research, we…

Computer Vision and Pattern Recognition · Computer Science 2023-04-04 Yang Shao , Hirokazu Atsumori , Tadayuki Matsumura , Kanako Esaki , Shunsuke Minusa , Hiroyuki Mizuno

Binary kinetic exchange models, where money is shuffled between two agents at a time, reproduce the Boltzmann Gibbs exponential wealth distribution but cannot address the multi party trades common in real markets. We generalize the exchange…

Physics and Society · Physics 2026-05-28 Suchismita Banerjee

To simultaneously overcome the limitation of the Gini index in that it is less sensitive to inequality at the tails of income distribution and the limitation of the inter-decile ratios that ignore inequality in the middle of income…

General Economics · Economics 2022-01-03 Thitithep Sitthiyot , Kanyarat Holasut
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