- Book Chapter
- 10.1090/psapm/080/00727
A model for wealth concentration: From a discrete system to a PDE
- Jan 01, 2025
- Proceedings of symposia in applied mathematics
- A Halev + 4 more +4
The evolution of urban areas plays a major role in crafting public policy and spurring investment. We propose a discrete model to study the existence and dynamics of spatial wealth concentration, centered on a two-dimensional lattice with wealth and an inherent amenities interacting via a feedback process. Various parameter regimes beget distinct dynamics, including that of spatial wealth concentration—as consistent with empirical observation. To enable a more rigorous analysis we derive a continuum model of partial differential equations (PDEs) from the discrete model and analyze the instability regime of the continuum system; the resultant regime agrees with observations of simulation of the discrete model. We also perform a sensitivity analysis on the continuum model to determine how small changes in parameters affect solutions.
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