arXiv · cond-mat/0406385
Temporal evolution of the "thermal" and "superthermal" income classes in the USA during 1983-2001
Abstract
Personal income distribution in the USA has a well-defined two-class structure. The majority of population (97-99%) belongs to the lower class characterized by the exponential Boltzmann-Gibbs ("thermal") distribution, whereas the upper class (1-3% of population) has a Pareto power-law ("superthermal") distribution. By analyzing income data for 1983-2001, we show that the "thermal" part is stationary in time, save for a gradual increase of the effective temperature, whereas the "superthermal" tail swells and shrinks following the stock market. We discuss the concept of equilibrium inequality in a society, based on the principle of maximal entropy, and quantitatively show that it applies to the majority of population.
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A. Christian Silva, Victor M. Yakovenko. 2004-10-31. Temporal evolution of the "thermal" and "superthermal" income classes in the USA during 1983-2001. https://doi.org/10.1209/epl%2Fi2004-10330-3
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