An statistical analysis of stratification and inequity in the income distribution

Juan C. Ferrero

Papers from arXiv.org

Abstract: The analysis of the USA 2001 income distribution shows that it can be described by at least two main components, which obey the generalized Tsallis statistics with different values of the q parameter. Theoretical calculations using the gas kinetics model with a distributed saving propensity factor and two ensembles reproduce the empirical data and provide further information on the structure of the distribution, which shows a clear stratification. This stratification is amenable to different interpretations, which are analyzed. The distribution function is invariant with the average individual income, which implies that the inequity of the distribution cannot be modified by increasing the total income.

Date: 2010-12
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Published in The European Physical Journal B, Volume 80, Issue 2, 2011, pp.255-261

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Persistent link: https://EconPapers.repec.org/RePEc:arx:papers:1012.5932

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