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Growth and fluctuations of personal and company's income

Author

Listed:
  • Aoyama, Hideaki
  • Souma, Wataru
  • Fujiwara, Yoshi

Abstract

We report several recent findings on income distribution. Using high-frequency data for personal income-tax in Japan, we have found that the probability distribution function of the growth-rate is independent from the income. We show that this Universality combined with the time-reversal invariance of the income distribution leads to the Pareto's law. We also find the same Universality holds for company's taxable income in Japan.

Suggested Citation

  • Aoyama, Hideaki & Souma, Wataru & Fujiwara, Yoshi, 2003. "Growth and fluctuations of personal and company's income," Physica A: Statistical Mechanics and its Applications, Elsevier, vol. 324(1), pages 352-358.
    • Handle: RePEc:eee:phsmap:v:324:y:2003:i:1:p:352-358
    DOI: 10.1016/S0378-4371(02)01855-1
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    References listed on IDEAS

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    1. Hideaki Aoyama & Yuichi Nagahara & Mitsuhiro P. Okazaki & Wataru Souma & Hideki Takayasu & Misako Takayasu, 2000. "Pareto's Law for Income of Individuals and Debt of Bankrupt Companies," Papers cond-mat/0006038, arXiv.org.
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