Estimating a Markov chain model using Excel

[Guest]

Can anyone direct me to an example of how this is done? I assume it involves
using the Solver add in to solve the optimization problem. I have never
estimated a Markov chain model before, and have not been able to find a very
complete example on the Net.

Many thanks in advance for your time in answering this question

 

[Guest]

http://www.me.utexas.edu/~jensen/ORMM/instruction/units/models/stoch_resources.html

read down. The buttons on the left should get you some addins with code to
perform the analysis.

or directly
http://www.me.utexas.edu/~jensen/ORMM/frontpage/jensen.lib/index.html

look at the two stochastic entries under probability models.

 

[Guest]

This looks like a fantastic site. Many thanks for directing me to it.