At equilibrium
A)state probabilities for the next period equal the state probabilities for this period.
B)the state probabilities are all equal to each other.
C)the matrix of transition probabilities is symmetrical.
D)the vector of state probabilities is symmetrical.

Question

Quizplus · Accepted Answer

At equilibrium, the probabilities for each state have stabilized and are no longer changing. This means that the probability of transitioning from one state to another in the next period is the same as the probability of transitioning from that state in the current period. Therefore, state probabilities for the next period are equal to state probabilities for this period.

At Equilibrium