Preprint Article Version 1 Preserved in Portico This version is not peer-reviewed

Effect of Savings on a Gas-Like Model Economy with Credit and Debt

Version 1 : Received: 31 December 2020 / Approved: 4 January 2021 / Online: 4 January 2021 (13:22:51 CET)

A peer-reviewed article of this Preprint also exists.

Chacón-Acosta, G.; Ángeles-Sánchez, V. Effect of Savings on a Gas-Like Model Economy with Credit and Debt. Entropy 2021, 23, 196. Chacón-Acosta, G.; Ángeles-Sánchez, V. Effect of Savings on a Gas-Like Model Economy with Credit and Debt. Entropy 2021, 23, 196.

Journal reference: Entropy 2021, 23, 196
DOI: 10.3390/e23020196

Abstract

In this work, we apply ensemble formalism to a geometric agents model to study the effect of saving propensity in a system with money, credit, and debt. We calculate the partition function to obtain the total money of the system, with which we give an interpretation of the economic temperature in terms of the different payment methods available to the agents. We observe an interplay between the fraction of money that agents can save and the debt that can be financed. We also observe that the system’s entropy increases as the saved proportion increases and increases, even more, when debt is present.

Subject Areas

econophysics; savings propensity; geometric models

Comments (0)

We encourage comments and feedback from a broad range of readers. See criteria for comments and our diversity statement.

Leave a public comment
Send a private comment to the author(s)
Views 0
Downloads 0
Comments 0
Metrics 0


×
Alerts
Notify me about updates to this article or when a peer-reviewed version is published.
We use cookies on our website to ensure you get the best experience.
Read more about our cookies here.