Hidden Markov Models, Markov Chains, Markov Switching, Markov Auto Regression, Maximum Likelihood.
A can be expressed as follows: The Law of Total Probability (Image by Author) Here’s a graphical way of looking at it. There are ’n’ different ways of reaching node A: The n different ways in which event A can occur (Image by Author) Using this law, we get the unconditional probability density of