-Exponential Equilibrium and Heavy Tails
The -deformed exponential family governs CES equilibria. Heavy tails for complements (), compact support for substitutes ().
Impact Score
Score Reasoning
- Importance
- Establishes q-exponential as the CES equilibrium distribution, generalizing logit to non-unit elasticity. Key bridge between CES production and statistical mechanics.
- Novelty
- New identification: q = rho locks the Tsallis deformation parameter to substitution elasticity. The tail behavior predictions (heavy tails for substitutes, compact support for complements) are novel falsifiable results.
- Quality
- Clear presentation of q-exponential family with tail behavior table, economic interpretations, and proof sketch. No related pages linked though.