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Global inequality in energy consumption from 1980 to 2010

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  • Scott Lawrence
  • Qin Liu
  • Victor M. Yakovenko
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    Abstract

    We study the global probability distribution of energy consumption per capita around the world using data from the U.S. Energy Information Administration (EIA) for 1980-2010. We find that the Lorenz curves have moved up during this time period, and the Gini coefficient G has decreased from 0.66 in 1980 to 0.55 in 2010, indicating a decrease in inequality. The global probability distribution of energy consumption per capita in 2010 is close to the exponential distribution with G=0.5. We attribute this result to the globalization of the world economy, which mixes the world and brings it closer to the state of maximal entropy. We argue that global energy production is a limited resource that is partitioned among the world population. The most probable partition is the one that maximizes entropy, thus resulting in the exponential distribution function. A consequence of the latter is the law of 1/3: the top 1/3 of the world population consumes 2/3 of produced energy. We also find similar results for the global probability distribution of CO2 emissions per capita.

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    File URL: http://arxiv.org/pdf/1312.6443
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    Bibliographic Info

    Paper provided by arXiv.org in its series Papers with number 1312.6443.

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    Date of creation: Dec 2013
    Date of revision: Mar 2014
    Publication status: Published in Entropy 15, 5565-5579 (2013)
    Handle: RePEc:arx:papers:1312.6443

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    1. Armon Rezai & Duncan Foley & Lance Taylor, 2012. "Global warming and economic externalities," Economic Theory, Springer, Springer, vol. 49(2), pages 329-351, February.
    2. N. Derzsy & Z. Neda & M. A. Santos, 2012. "Income distribution patterns from a complete social security database," Papers 1203.1880, arXiv.org.
    3. Banerjee, Anand & Yakovenko, Victor M. & Di Matteo, T., 2006. "A study of the personal income distribution in Australia," Physica A: Statistical Mechanics and its Applications, Elsevier, Elsevier, vol. 370(1), pages 54-59.
    4. Victor M. Yakovenko & J. Barkley Rosser, 2009. "Colloquium: Statistical mechanics of money, wealth, and income," Papers 0905.1518, arXiv.org, revised Dec 2009.
    5. Anand Banerjee & Victor M. Yakovenko & T. Di Matteo, 2006. "A study of the personal income distribution in Australia," Papers physics/0601176, arXiv.org.
    6. Derzsy, N. & NĂ©da, Z. & Santos, M.A., 2012. "Income distribution patterns from a complete social security database," Physica A: Statistical Mechanics and its Applications, Elsevier, Elsevier, vol. 391(22), pages 5611-5619.
    7. Adrian Dragulescu & Victor M. Yakovenko, 2000. "Statistical mechanics of money," Papers cond-mat/0001432, arXiv.org, revised Aug 2000.
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