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arxiv: cond-mat/0307270 · v2 · pith:JBCMKYXHnew · submitted 2003-07-11 · ❄️ cond-mat.stat-mech · q-fin.GN

The mean-field approximation model of company's income growth

classification ❄️ cond-mat.stat-mech q-fin.GN
keywords incomecompanyapproximationdistributionmean-fieldadditiveappropriatelycountry-dependence
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We introduce a mean-field type approximation for description of company's income statistics. Utilizing huge company data we show that a discrete version of Langevin equation with additive and multiplicative noises can appropriately describe the time evolution of a company's income fluctuation in statistical sense. The Zipf's law of income distribution is shown to be hold in a steady-sate widely, and country-dependence of income distribution can also be nicely implemented in our numerical simulation.

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