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Propensity to spending of an average consumer over a brief period

Author

Listed:
  • Roberto De Luca

    (Dipartimento di Fisica E.R.Caianiello, Università di Salerno)

  • Marco Di Mauro

    (Dipartimento di Fisica E.R.Caianiello, Università di Salerno)

  • Angelo Falzarano

    (Dipartimento di Scienze Economiche e Statistiche, Università di Napoli Federico II)

  • Adele Naddeo

    (INFN Sezione di Napoli)

Abstract

Understanding consumption dynamics and its impact on the whole economy and welfare within the present economic crisis is not an easy task. Indeed the level of consumer demand for different goods varies with the prices, consumer incomes and demographic factors. Furthermore crisis may trigger different behaviors which result in distortions and amplification effects. In the present work we propose a simple model to quantitatively describe the time evolution over a brief period of the amount of money an average consumer decides to spend, depending on his/her available budget. A simple hydrodynamical analog of the model is discussed. Finally, perspectives of this work are briefly outlined.

Suggested Citation

  • Roberto De Luca & Marco Di Mauro & Angelo Falzarano & Adele Naddeo, 2016. "Propensity to spending of an average consumer over a brief period," The European Physical Journal B: Condensed Matter and Complex Systems, Springer;EDP Sciences, vol. 89(8), pages 1-5, August.
  • Handle: RePEc:spr:eurphb:v:89:y:2016:i:8:d:10.1140_epjb_e2016-70243-y
    DOI: 10.1140/epjb/e2016-70243-y
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    References listed on IDEAS

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    1. Deaton, Angus, 1992. "Understanding Consumption," OUP Catalogue, Oxford University Press, number 9780198288244.
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    Statistical and Nonlinear Physics;

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