Individual level and exhaustive income data for Romania (Cluj county ) is analysed for several consecutive years. The income distributions collapse on a master-curve when a properly normalised income is considered. The Beta Prime distribution is appropriate to fit the collapsed data . A dynamical model based on a master equation with growth and reset terms is successful in explaining the observed distribution in a self-consistent manner, i.e. the growth and reset rates are evaluated from the same individual level data. Income distribution derived for other countries are following similar trends . The collapse on the master-curve is not perfect however, suggesting that for a more realistic modelling specific socio-economic characteristics have to be taken also into account .
We provide an analytically treatable model that describes in a unified manner income distribution for all income categories. The approach is based on a master equation with growth and reset terms. The model assumptions on the growth and reset rates are tested on an exhaustive database with incomes on individual level spanning a nine year period in the Cluj county (Romania). In agreement with our theoretical predictions we find that income distributions computed for several years collapse on a master-curve when a properly normalised income is considered. The Beta Prime distribution is appropriate to fit the collapsed data and it is shown that distributions derived for other countries are following similar trends with different fit parameters. The non-universal feature of the fit parameters suggests that for a more realistic modelling the model parameters have to be linked with specific socio-economic regulations .
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Individual level and exhaustive income data for Romania (Cluj county ) is analysed for several consecutive years. The income distributions
We provide an analytically treatable model that describes in a unified manner income distribution for all income categories. The approach is based on a master equation with growth and reset terms. The model assumptions on the growth and reset rates are tested on an exhaustive database with incomes on individual level spanning a nine year period in the Cluj county (Romania). In agreement with our theoretical predictions we find that income distributions computed for several years
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. A dynamical model based on a master equation with growth and reset terms is successful in explaining the observed distribution in a self-consistent manner, i.e. the growth and reset rates are evaluated from the same individual level data. Income distribution
and it is shown that distributions
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. The collapse on the master-curve is not perfect however, suggesting
with different fit parameters. The non-universal feature of the fit parameters suggests
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specific socio-economic characteristics
the model parameters
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taken also into account
linked with specific socio-economic regulations