Kinetic Exchange Models for Income and Wealth Distributions

Abstract

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 in equilibrium. However, it also deviates in the low income and more significantly for the high income ranges. Application of physics models provides illuminating ideas and understanding, complementing the observations.

15 pages, 20 eps figures, EPJ class; To be published as "Colloquium" in Eur Phys J B

References in corpus (5)

• Generic features of the wealth distribution in ideal-gas-like markets
• A Unified Framework for the Pareto Law and Matthew Effect using Scale-Free Networks
• Ideal-gas like market models with savings: quenched and annealed cases
• Kinetic market models with single commodity having price fluctuations
• Emergence of Power Law in a Market with Mixed Models

Cited by in corpus (5)

• Kinetic models for wealth exchange on directed networks
• Agent dynamics in kinetic models of wealth exchange
• Modeling wealth distribution in growing markets
• Experimental evidence for the interplay between individual wealth and transaction network
• Breakdown of the mean-field approximation in a wealth distribution model