Authors:
Bruce M. Boghosian
;
Adrian Devitt-Lee
and
Hongyan Wang
Affiliation:
Tufts University, United States
Keyword(s):
Fokker-Planck Equation, Asset Exchange Model, Yard-Sale Model, Pareto Distribution, Gibrat’s Law, Lorenz Curve, Gini Coefficient, Lorenz-Pareto Exponent, Phase Transitions, Phase Coexistence, Wealth Condensation.
Related
Ontology
Subjects/Areas/Topics:
Agents
;
Artificial Intelligence
;
Artificial Intelligence and Decision Support Systems
;
Distributed and Mobile Software Systems
;
Enterprise Information Systems
;
Knowledge Engineering and Ontology Development
;
Knowledge-Based Systems
;
Multi-Agent Systems
;
Software Engineering
;
Symbolic Systems
Abstract:
The addition of wealth-attained advantage (WAA) to the Yard-Sale Model (YSM) of asset exchange has been demonstrated to induce wealth condensation. In models of WAA for which the bias is a continuous function of the wealth difference of the transacting agents, the condensation arises from a second-order phase transition to a coexistence regime. In this paper, we present the first analytic time-dependent results for this model, by showing that the condensed wealth obeys a simple logistic equation in time.