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Existence Of Unique Limiting Probability Vectors In Stochastic Processes With Multiple Transition Matrices

Author

Listed:
  • Mjelde, James W.
  • Harris, Wesley D.
  • Conner, J. Richard
  • Schnitkey, Gary D.
  • Glover, Michael K.
  • Garoian, Lee

Abstract

Concepts associated with stochastic process containing multiple transition matricies are discussed. It is proved that under certain conditions, a process with m transition matrices has m unique limiting probability vectors. This result extends the notion of discrete Markov processes to problems with intrayear and interyear dynamics. An example using a large DP model illustrates the usefulness of the concepts developed to applied problems.

Suggested Citation

  • Mjelde, James W. & Harris, Wesley D. & Conner, J. Richard & Schnitkey, Gary D. & Glover, Michael K. & Garoian, Lee, 1992. "Existence Of Unique Limiting Probability Vectors In Stochastic Processes With Multiple Transition Matrices," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 17(2), pages 1-11, December.
    • Handle: RePEc:ags:jlaare:30939
    DOI: 10.22004/ag.econ.30939
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    1. Winsten, Jonathan R. & Stokes, Jeffrey R., 2004. "The efficacy of controlling phosphorus loading: the case of management-intensive grazing," Agricultural Systems, Elsevier, vol. 79(3), pages 283-303, March.

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