Thermostatistical Evaluation of Economic Activity

TL;DR

This paper applies thermostatistical models to analyze Bogot'{a}'s sports sector, revealing demand elasticity, system stability, and the impact of COVID-19 using thermodynamic and geometrothermodynamic frameworks.

Contribution

It introduces a novel thermodynamic approach to evaluate economic activity and stability in a specific sector, integrating statistical mechanics with economic analysis.

Findings

Demand for sports services is highly elastic, especially during economic upturns.

System stability is affected by external shocks like COVID-19, with identifiable economic singularities.

Heat capacity decline suggests potential growth limitations in the sector.

Abstract

We present an analysis of Bogot'{a}'s sports sector through thermostatistical models applied to economic systems. The study investigates the cross-price elasticity of income ($\lambda$) to determine whether sports services in Bogot'{a} are normal or inferior goods. Analyzing data from the Sports Satellite Account of Bogot'{a} (CSDB) from 2018 to 2022, we find that demand for sports services is highly elastic, particularly during economic upturns, indicating they are seen as normal or luxury goods. We also calculate the partition function, entropy, and heat capacity, showing consistency with the Boltzmann Principle, which indicates a strong correlation between microstates and the macroeconomic state, supporting the statistical thermodynamic framework. Furthermore, the study employs geometrothermodynamics to assess system stability using Kretschmann and Ricci scalars to identify economic singularities, especially during the pandemic, highlighting its disruptive impact. This approach provides a nuanced understanding of system stability and the effects of external shocks like COVID-19 on the economic structure. Our analysis demonstrates that Bogot'{a}'s sports sector responds elastically to GDP changes, with stability influenced by various macroeconomic factors. However, a decline in heat capacity as economic temperature rises suggests potential growth limitations, necessitating further research to fully grasp the sector's long-term outlook.