(8) Every year, each employee at a large company must select one of two healthcare plans. It is expected that 15% ofthe employees currently using plan A will switch to plan B and that 25% of the employees currently using plan B willswitch to plan A. Out of the company's 1000 employees, 450 are currently enrolled in plan A.(a) Use a stochastic matrix to predict how many employees will be enrolled in each plan next year.(b) Use a stochastic matrix to predict how many employees will be enrolled in each plan in five years.

Answered: Image /qna-images/answer/d4b569a7-2445-4204-a550-6ac092ee3f6e.jpg

Answered: (8) Every year, each employee at a…

Elementary Linear Algebra (MindTap Course List)

8th Edition

ISBN:9781305658004

Author:Ron Larson

Publisher:Ron Larson

Chapter2: Matrices

Section2.5: Markov Chain

Problem 34E

See similar textbooks

Similar questions

Explain how you can determine the steady state matrix X of an absorbing Markov chain by inspection.
What is the reduced row echelon form of a matrix?
A major long-distance telephone company (company A) has studied the tendency of telephone users to switch from one carrier to another. The company believes that over successive six-month periods, the probability that a customer who uses A's service will switch to a competing service is 0.2 and the probability that a customer of any competing service will switch to A is 0.3. (a) Find a transition matrix for this situation. (b) If A presently controls 60% of the market, what percentage can it expect to control six months from now? (c) What percentage of the market can A expect to control in the long run? (a) Find a transition matrix for this situation. Let "Comp" stand for "a competing service." A Comp A Comp (Type integers or decimals.) (b) If A presently controls 60% of the market, what percentage can it expect to control six months from now? Company A can expect to control % of the market six months from now. (c) What percentage of the market can A expect to control in the long run?…
A businessman is shipping a machine to another country. The cost of overhauling is $2700. If the machine fails in operation in the other country, it will cost $5500 in lost production and repairs. He estimates the probability that it will fail at 0.3 if it is not overhauled, and 0.2 if it is overhauled. Neglect the possibility that the machine might fail more than once in the 4 years (a) Prepare a payoff matrix. (b) What should the businessman do to minimize his expected costs? (a) Fill in the entries of the payoff matrix Fails Does Not Fail 8 81 (b) Would overhauling the machine before shipping minimize the businessman's expected costs? Overhaul Does Not Overhaul CETT OYes O No
Enter below a 3x3 Markov matrix which has more than 1 steady state. You can not use the identity matrix.
1. Abigail spends her entire weekly allowance on either candy or toys. If she buys candy one week, she is 60% sure to buy toys the next week. The probability that she buys toys in two successive weeks is 25%. (a) Create a transition diagram that describes this scenario. (b) Create a transition matrix that describes this scenario. Is this scenario ergodic or absorbing? Explain. (c) Suppose that this week, Abigail spends all of her money (100%) on candy. Using matrix multiplication, predict the probability that Abigail buys toys or candy next week, the following week, and three weeks from now. (d) Find the eigenvalues and eigenvectors for this transition matrix. (e) In the long run, what is the probability that Abigail will spend her money on toys? Explain.
Construct a model of population flow between metropolitan and nonmetropolitan areas of the United States, given that their respective populations in 2012 were 255 million and 52 million. The probabilities are given by the matrix (from) (to) metro nonmetro [0.99 [0.01 0.02] metro 0.98 nonmetro Predict the population distributions of metropolitan and nonmetropolitan areas for the years 2013 through 2015 (in millions, to four decimal places). If a person was living in a metropolitan area in 2012, what is the probability that the person will still be living in a metropolitan area in 2015?
A system consists of five components, each can be operational or not. Each day one operational component is used and it will fail with probability 20%. Suppose there are five repairmen available that can each work on one broken down component per day. Each repairman successfully fixes the component with probability 70% regardless of whether he has worked on it previous days. Model the system as a Markov chain Write down equations for determining long-run proportions. Suppose that you are interested in the average number of repairmen who are working per day. Explain how you would find it using your model. You are not asked to solve any equations here, instead describe how you would use the solutions.
Please answer the question in the file attached. I do not understand the concept, so please include as much detail as possible.
In some country, 90% of the daughters of working women also work and 20% of the daughters of nonworking women work. Assume that these percents remains 0.9 0.2 unchanged from one generation to the next. The corresponding transition matrix is A = 0.1 0.8 Consider a typical group of women, of whom 45% currently work. Use A and A² to determine the proportion of working women in the next two generations. The proportion of working women in the first generation is %. (Type an integer or a decimal.) %. The proportion of working women in the second generation is (Type an integer or a decimal.)

Recommended textbooks for you

Elementary Linear Algebra (MindTap Course List)

Algebra

ISBN:

9781305658004

Author:

Ron Larson

Publisher:

Cengage Learning

Algebra and Trigonometry (MindTap Course List)

Algebra

ISBN:

9781305071742

Author:

James Stewart, Lothar Redlin, Saleem Watson

Publisher:

Cengage Learning

College Algebra

Algebra

ISBN:

9781305115545

Author:

James Stewart, Lothar Redlin, Saleem Watson

Publisher:

Cengage Learning

Elementary Linear Algebra (MindTap Course List)

Algebra

ISBN:

9781305658004

Author:

Ron Larson

Publisher:

Cengage Learning

Algebra and Trigonometry (MindTap Course List)

Algebra

ISBN:

9781305071742

Author:

James Stewart, Lothar Redlin, Saleem Watson

Publisher:

Cengage Learning

College Algebra

Algebra

ISBN:

9781305115545

Author:

James Stewart, Lothar Redlin, Saleem Watson

Publisher:

Cengage Learning

SEE MORE TEXTBOOKS