Models of Wealth and Inequality Using Fiscal Microdata: Distribution in Spain from 2015 to 2020

Abstract

In this research, we used Spanish wealth distribution microdata for the period 2015–2020 to provide a general framework for comparing different models and explaining different empirical datasets related to wealth distribution. We present a methodology to output the current value of assets and participations held by the population in order to calculate their real and current distribution. We propose a new methodology for mixture analysis, whereby we identify and analyze subpopulations and then go on to study their influence on wealth distribution. We use concepts of symmetry to identify two internal processes that are characteristic of the wealth accumulation process for the subpopulations of entrepreneurs and non-entrepreneurs. Finally, we propose a method to adjust these results to other empirical data in other countries and periods, providing a methodology for comparing results output with differing data granularity.

Keywords

• wealth
• distribution
• Pareto
• Gibrat
• econophysics
• Benford