Full text: Konvolut The Personal Distribution of Income 1

to the tail of the recurrence tine distribution,i.e. to p . 
More directly, the vector of steady state probabilities u*, 
can be derived from the following two conditions; 
A/ 
= P U K_1 
u Q = qq + qu 1 + qu 2 + ... 
\ 
•The first condition ensures the invariance of the steady 
state; the seco.nd ensures that entries to and emits fron 
the income population balance. 
It follows that 
= p K u o jefo 
u = 1 - p P < 1 
o 
The result.is, of course, identical with the distribution 
of the spent waiting time.derived above.
	        
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