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Using a semi-structural approach, the paper identifies how heterogeneity and financial frictions affect the transmission of aggregate shocks. Approximating a heterogeneous agent model around the representative agent allocation can…

General Economics · Economics 2020-07-29 Andreas Tryphonides

This paper examines a heterogeneous beliefs model in which there is a process that is only partially observed by the agents. The economy contains a risky asset producing dividends continuously in time. The dividends are observed by the…

General Finance · Quantitative Finance 2009-07-29 A. A. Brown

We propose an opinion model based on agents located at the vertices of a regular lattice. Each agent has an independent opinion (among an arbitrary, but fixed, number of choices) and its own degree of conviction. The latter changes every…

Physics and Society · Physics 2012-05-29 S. R. Souza , S. Goncalves

In the manuscript, we are interested in using kinetic theory to better understand the time evolution of wealth distribution and their large scale behavior such as the evolution of inequality (e.g. Gini index). We investigate three type of…

Probability · Mathematics 2021-05-18 Fei Cao , Sebastien Motsch

Probabilistic modeling is cyclical: we specify a model, infer its posterior, and evaluate its performance. Evaluation drives the cycle, as we revise our model based on how it performs. This requires a metric. Traditionally, predictive…

Machine Learning · Statistics 2016-05-25 Alp Kucukelbir , David M. Blei

This paper explores the interplay between transfer policies, R\&D, corruption, and economic development using a general equilibrium model with heterogeneous agents and a government. The government collects taxes, redistributes fiscal…

Computational Finance · Quantitative Finance 2025-12-04 Cuong Le Van , Ngoc-Sang Pham , Thi Kim Cuong Pham , Binh Tran-Nam

We introduce multi-population opinion dynamics models linked to the bounded confidence model, aiming to explore how interactions between individuals contribute to the emergence of consensus, polarization, or fragmentation. Existing models…

Dynamical Systems · Mathematics 2023-11-29 Tigran Bakaryan , Yuliang Gu , Naira Hovakimyan , Tarek Abdelzaher , Christian Lebiere

Many dynamical phenomena display a cyclic behavior, in the sense that time can be partitioned into units within which distributional aspects of a process are homogeneous. In this paper, we introduce a class of models - called conjugate…

Statistics Theory · Mathematics 2017-05-05 Eduardo Horta , Flavio Ziegelmann

In this work we use an inelastic scattering process of particles to propose a model able to reproduce the salient features of the wealth distribution in an economy by including taxes to each trading process and redistributing that collected…

General Finance · Quantitative Finance 2008-12-02 Sebastian D. Guala

We present numerical simulations of a model of social influence, where the opinion of each agent is represented by a binary vector. Agents adjust their opinions as a result of random encounters, whenever the difference between opinions is…

Statistical Mechanics · Physics 2009-11-10 M. F. Laguna , Guillermo Abramson , Damian H. Zanette

The article examines how institutions, automation, unemployment and income distribution interact in the context of a neoclassical growth model where profits are interpreted as a surplus over costs of production. Adjusting the model to the…

General Economics · Economics 2022-11-29 Juan E. Jacobo

Numerous models in opinion dynamics focus on the temporal dynamics within a single electoral unit (e.g., country). The empirical observations, on the other hand, are often made across multiple electoral units (e.g., polling stations) at a…

Physics and Society · Physics 2019-10-11 Aleksejus Kononovicius

Bridging the gap between individual agent behavior and macroscopic societal patterns is a central challenge in the social sciences. In this work, we propose a solution to this problem via a kinetic theory formulation. We demonstrate that…

Physics and Society · Physics 2025-11-13 Miguel A. Durán-Olivencia

Statistical systems are conceived from the standpoint of statistical mechanics, as made of a (generally large) number of identical units and exhibiting a (generally large) number of different configurations (microstates), among which only…

General Physics · Physics 2017-06-21 R. Caimmi

Each individual in society experiences an evolution of their income during their lifetime. Macroscopically, this dynamics creates a statistical relationship between age and income for each society. In this study, we investigate income…

General Economics · Economics 2022-02-01 Fatih Ozhamaratli , Oleg Kitov , Paolo Barucca

A mechanism is proposed for the appearance of power law distributions in various complex systems. It is shown that in a conservative mechanical system composed of subsystems with different numbers of degrees of freedom a robust power-law…

Statistical Mechanics · Physics 2018-01-03 Anirban Chakraborti , Marco Patriarca

We introduce and discuss a nonlinear kinetic equation of Boltzmann type which describes the influence of knowledge in the evolution of wealth in a system of agents which interact through the binary trades introduced in Cordier, Pareschi,…

General Finance · Quantitative Finance 2015-06-18 Lorenzo Pareschi , Giuseppe Toscani

This paper deals with a Boltzmann-type kinetic model describing the interplay between vehicle dynamics and safety aspects in vehicular traffic. Sticking to the idea that the macroscopic characteristics of traffic flow, including the…

Physics and Society · Physics 2017-01-12 Paolo Freguglia , Andrea Tosin

We propose and investigate general kinetic models %of Boltzmann type with transition probabilities that can describe the simultaneous change of multiple microscopic states of the interacting agents. These models can be applied to many…

Mathematical Physics · Physics 2023-02-23 Marzia Bisi , Nadia Loy

We review the statistical mechanics approach to the study of the emerging collective behavior of systems of heterogeneous interacting agents. The general framework is presented through examples is such contexts as ecosystem dynamics and…

Physics and Society · Physics 2007-05-23 Andrea De Martino , Matteo Marsili