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Statistical Bounds on Equity

Author

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  • Daniel Badagnani

Abstract

We derive the most probable distribution of resources for a simple society. We find that a probabilistic analysis forbids both too much and too less equity, and selects instead a minimally ordered state. We give the detailed calculations for a special model where the population and resources are fixed, and resources are owned only by individuals. We show that in general the equity is greater whenever the volume of the indifference manifold grows faster as a function of individual rent.

Suggested Citation

  • Daniel Badagnani, 2002. "Statistical Bounds on Equity," Game Theory and Information 0209002, University Library of Munich, Germany.
    • Handle: RePEc:wpa:wuwpga:0209002
    Note: Type of Document - PostScript; prepared on PC/MS-DOS; to print on PostScript; pages: 6; figures: none
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    More about this item

    Keywords

    statistics; statistical mechanics; distribution;
    All these keywords.

    JEL classification:

    • C7 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory
    • D8 - Microeconomics - - Information, Knowledge, and Uncertainty

    Statistics

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