SHAZAM Questions and Answers (Q&A) - RSS feedhttp://community.econometrics.com/questions/SHAZAM Econometrics, Statistics and Analytics Communityen<font color="white">Copyright <b>SHAZAM Analytics, 2018</b></font>Fri, 08 Jun 2012 08:39:34 +0000Transition Probability Estimationhttp://community.econometrics.com/question/239/transition-probability-estimation/I'm try to estimate a simple stationary Markov chain in Shazam using least squares. The restrictions appear to be causing some problems though since all the pij>=0 and sum over j pij=1 for all i where pij are the probabilities to be estimated and are the probability of transitioning from the ith to the jth state in the chain. This should be a simple problem?Nittany66Fri, 08 Jun 2012 08:39:34 +0000http://community.econometrics.com/question/239/