Hierarchy and the power-law income distribution tail

被引：5
作者：
Fix B. [1 ]
机构：
[1] York University, Toronto, ON
来源：
Journal of Computational Social Science | 2018年 / 1卷 / 2期
关键词：
Economic modeling; Firm hierarchy; Income distribution; Power law;
D O I：
10.1007/s42001-018-0019-8
中图分类号：
学科分类号：
摘要：
What explains the power-law distribution of top incomes? This paper tests the hypothesis that it is firm hierarchy that creates the power-law income distribution tail. Using the available case-study evidence on firm hierarchy, I create the first large-scale simulation of the hierarchical structure of the US private sector. Although not tuned to do so, this model reproduces the power-law scaling of top US incomes. I show that this is purely an effect of firm hierarchy. This raises the possibility that the ubiquity of power-law income distribution tails is due to the ubiquity of hierarchical organization in human societies. © 2018, Springer Nature Singapore Pte Ltd.
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页码：471 / 491
页数：20
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