Markov Chains, Markov Process, Python, Discrete Time Markov, Probability.
of closing lower than previous day\'s close') plt.plot(range(len(pi)), pi[:,1]) plt.show() We get the following two plots: (Image by Author) We see that in just a few time steps, the unconditional probabilities vector π_t= [ π_1t, π_2t] settles down into the steady state value [0.65217391,