Kinetic equations modelling wealth redistribution: a comparison of approaches

Düring, Bertram, Matthes, Daniel and Toscani, Giuseppe (2008) Kinetic equations modelling wealth redistribution: a comparison of approaches. Physical Review E, 78 (5). ISSN 1539-3755

This is the latest version of this item.

[img]
Preview
PDF - Published Version
Download (247kB) | Preview

Abstract

Kinetic equations modelling the redistribution of wealth in simple market economies is one of the major topics in the field of econophysics. We present a unifying approach to the qualitative study for a large variety of such models, which is based on a moment analysis in the related homogeneous Boltzmann equation, and on the use of suitable metrics for probability measures. In consequence, we are able to classify the most important feature of the steady wealth distribution, namely the fatness of the Pareto tail, and the dynamical stability of the latter in terms of the model parameters. Our results apply, e.g., to the market model with risky investments [S. Cordier, L. Pareschi, and G. Toscani, J. Stat. Phys. 120, 253 (2005)], and to the model with quenched saving propensities [A. Chatterjee, B. K. Chakrabarti, and S. S. Manna, Physica A 335, 155 (2004)]. Also, we present results from numerical experiments that confirm the theoretical predictions.

Item Type: Article
Schools and Departments: School of Mathematical and Physical Sciences > Mathematics
Subjects: Q Science > QA Mathematics
Depositing User: Bertram During
Date Deposited: 07 Nov 2012 10:10
Last Modified: 10 Mar 2017 18:27
URI: http://sro.sussex.ac.uk/id/eprint/41332

Available Versions of this Item

View download statistics for this item

📧 Request an update