Before revision: Income inequality is one of the most significant socio-economic challenges confronting India, with potentially long-lasting implications for the future of its democracy and society. In this work, we explore income inequality in India, without assumptions of equilibrium, and illustrate the nature and direction of re-distribution within the income distributionin a dynamic sense. Given that both mean income and income inequality show a rising trend post the Industrial Revolution, we argue that such a process is appropriately modeled using Geometric Brownian Motion (GBM).
After revision: Income inequality is one of the bottom of the distribution. We argue that income evolution is appropriately modelled using Geometric Brownian Motion (GBM).