A Markov Chain
A stochastic model that describes a sequence of possible events, where the probability of each event depends only on the state attained in the previous event, known as the Markov property.
Areas of application
- operations research
- statistics
- machine learning
- engineering
- economics
Example
Consider a simple random walk on a one-dimensional lattice. At each step, the particle moves to a neighboring site with equal probability. The Markov chain model describes the sequence of positions the particle occupies over time, where the probability of being at each position depends only on the previous position.