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Directed Random Markets: Connectivity Determines Money

Author

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  • ISMAEL MARTÍNEZ-MARTÍNEZ

    (Faculty of Science, Department of Computer Science and Systems Engineering, University of Zaragoza, E-50009 Zaragoza, Spain)

  • RICARDO LÓPEZ-RUIZ

    (Faculty of Science, Department of Computer Science and Systems Engineering and BIFI, University of Zaragoza, E-50009 Zaragoza, Spain)

Abstract

Boltzmann–Gibbs (BG) distribution arises as the statistical equilibrium probability distribution of money among the agents of a closed economic system where random and undirected exchanges are allowed. When considering a model with uniform savings in the exchanges, the final distribution is close to the gamma family. In this paper, we implement these exchange rules on networks and we find that these stationary probability distributions are robust and they are not affected by the topology of the underlying network. We introduce a new family of interactions: random but directed ones. In this case, it is found the topology to be determinant and the mean money per economic agent is related to the degree of the node representing the agent in the network. The relation between the mean money per economic agent and its degree is shown to be linear.

Suggested Citation

  • Ismael Martínez-Martínez & Ricardo López-Ruiz, 2013. "Directed Random Markets: Connectivity Determines Money," International Journal of Modern Physics C (IJMPC), World Scientific Publishing Co. Pte. Ltd., vol. 24(01), pages 1-14.
    • Handle: RePEc:wsi:ijmpcx:v:24:y:2013:i:01:n:s012918311250088x
    DOI: 10.1142/S012918311250088X
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    References listed on IDEAS

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    1. Perez, A.A, 2001. "Comment on “On the multinomial logic model” [Physica A 269 (1999) 9–15]," Physica A: Statistical Mechanics and its Applications, Elsevier, vol. 289(3), pages 606-606.
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