Wealth distribution in modern societies: collected data and a master equation approach
Physics and Society
2021-07-14 v1 General Economics
Economics
Abstract
A mean-field like stochastic evolution equation with growth and reset terms (LGGR model) is used to model wealth distribution in modern societies. The stationary solution of the model leads to an analytical form for the density function that is successful in describing the observed data for all wealth categories. In the limit of high wealth values the proposed density function has the accepted Tsallis-Pareto shape. Our results are in agreement with the predictions of an earlier approach based on a mean-field like wealth exchange process.
Keywords
Cite
@article{arxiv.2104.04134,
title = {Wealth distribution in modern societies: collected data and a master equation approach},
author = {Istvan Gere and Szabolcs Kelemen and Geza Toth and Tamas Biro and Zoltan Neda},
journal= {arXiv preprint arXiv:2104.04134},
year = {2021}
}
Comments
Latex, 10 pages, 8 figures