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Economic growth is unpredictable unless demand is quantified. We solve this problem by introducing the demand for unpaid spare time and a user quantity named human capacity. It organizes and amplifies spare time required for enjoying…

General Finance · Quantitative Finance 2012-06-13 Hans G. Danielmeyer , Thomas Martinetz

A brief overview of the models and data analyses of income, wealth, consumption distributions by the physicists, are presented here. It has been found empirically that the distributions of income and wealth possess fairly robust features,…

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

We consider a simple theoretical model to investigate the impact of inheritances on the wealth distribution. Wealth is described as a finite resource, which remains constant over different generations and is divided equally among offspring.…

Physics and Society · Physics 2021-11-17 Pedro Patrício , Nuno A. M. Araújo

This paper presents a physical perspective on the human migration phenomenon claiming that human social behaviors are somehow but not completely inspired by nature. Human displacement or migration in the world is highly affected by…

Physics and Society · Physics 2022-01-19 Mina Ghanbari , Ghader Rezazadeh

A local agglomeration of cooperators can support the survival or spreading of cooperation, even when cooperation is predicted to die out according to the replicator equation, which is often used in evolutionary game theory to study the…

Physics and Society · Physics 2009-03-06 Dirk Helbing

Trust is a collective, self-fulfilling phenomenon that suggests analogies with phase transitions. We introduce a stylized model for the build-up and collapse of trust in networks, which generically displays a first order transition. The…

Physics and Society · Physics 2015-03-17 João da Gama Batista , Jean-Philippe Bouchaud , Damien Challet

Knowing and modelling the migration phenomena and especially the social and economic consequences have a theoretical and practical importance, being related to their consequences for development, economic progress (or as appropriate,…

General Finance · Quantitative Finance 2012-02-07 Anca Gheorghiu , Ion Spanulescu

The prevalence of many urban phenomena changes systematically with population size. We propose a theory that unifies models of economic complexity and cultural evolution to derive urban scaling. The theory accounts for the difference in…

Physics and Society · Physics 2016-12-28 Andres Gomez-Lievano , Oscar Patterson-Lomba , Ricardo Hausmann

We introduce a stochastic model to explain a double power-law distribution which exhibits two different Paretian behaviors in the upper and the lower tail and widely exists in social and economic systems. The model incorporates fitness…

Physics and Society · Physics 2011-04-25 D. D. Han , J. H. Qian , Y. G. Ma

The principle of linearized stability and instability is established for a classical model describing the spatial movement of an age-structured population with nonlinear vital rates. It is shown that the real parts of the eigenvalues of the…

Analysis of PDEs · Mathematics 2023-12-21 Christoph Walker

How do individuals accumulate wealth as they interact economically? We outline the consequences of a simple microscopic model in which repeated pairwise exchanges of assets between individuals build the wealth distribution of a population.…

Physics and Society · Physics 2010-08-31 P. L. Krapivsky , S. Redner

Universality in the behavior of complex systems often reveals itself in the form of scale-invariant distributions that are essentially independent of the details of the microscopic dynamics. A representative paradigm of complex behavior in…

Statistical Mechanics · Physics 2007-05-23 G. Malescio , N. V. Dokholyan , S. V. Buldyrev , H. Eugene Stanley

We demonstrate by mathematical analysis and systematic computer simulations that redistribution can lead to sustainable growth in a society. The human capital dynamics of each agent is described by a stochastic multiplicative process which,…

General Finance · Quantitative Finance 2015-06-11 Jan Lorenz , Fabian Paetzel , Frank Schweitzer

Using the analogy with inelastic granular gasses we introduce a model for wealth exchange in society. The dynamics is governed by a kinetic equation, which allows for self-similar solutions. The scaling function has a power-law tail, the…

Statistical Mechanics · Physics 2008-12-02 Frantisek Slanina

In this paper we show similarities between turbulence and financial systems. Motivated by similarities between the two systems, we construct a multiscale model for hierarchical financial structures that exhibits a constant cascade of wealth…

General Finance · Quantitative Finance 2019-11-25 Mahendra K. Verma

This study analyzes the role of meritocracy, media influence, and scheduled theory from multiple perspectives as mechanisms that maintain inequality in social classes. Social inequality exists in complex forms in the educational, media, and…

Physics and Society · Physics 2024-04-23 Yasuko Kawahata

We construct a model of wealth distribution, based on an interactive multiplicative stochastic process on static complex networks. Through numerical simulations we show that a decrease in the number of links discourages equality in wealth…

Statistical Mechanics · Physics 2007-05-23 Wataru Souma , Yoshi Fujiwara , Hideaki Aoyama

There are many natural, physical, and biological systems that exhibit multiple time scales. For example, the dynamics of a population of ticks can be described in continuous time during their individual life cycle yet discrete time is used…

Dynamical Systems · Mathematics 2009-07-10 Raquel M. Lopez , Sergei K. Suslov , Erika T. Camacho

We introduce a new model that mimics the strong and sudden effects induced by conformity in tightly interacting human societies. Such effects range from mere crowd phenomena to dramatic political turmoil. The model is a modified version of…

Physics and Society · Physics 2015-06-26 A. L. Efros , P. Désesquelles

Simple agent based exchange models are a commonplace in the study of wealth distribution of artificial societies. Generally, each agent is characterized by its wealth and by a risk-aversion factor, and random exchanges between agents allow…

Adaptation and Self-Organizing Systems · Physics 2009-11-11 G. M. Caon , S. Goncalves , J. R. Iglesias
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