(a) The following diagram shows the movement of Kenyan households among three income groups: affluent, middle class, and poor, over the 11-year period 1980–1991. AFFLUENT 27.1% Sh72,000 (in 1994) 7.5% MIDDLE CLASS 8.5% Sh24,000 (in 1994) 30.4% POOR (i) Use the transitions shown in the diagram to construct a transition matrix (assuming zero probabilities for the transitions between affluent and poor). (ii) Assuming that the trend shown was to continue, what percent of households' classified as affluent in 1980 -1991, were predicted to become poor in 1993? (iii) According to the model, what percentage of all Kenyan households will be in each income bracket in the long term?

(a) The following diagram shows the movement of Kenyan households among three income groups: affluent, middle class, and poor, over the 11-year period 1980–1991. AFFLUENT 27.1% Sh72,000 (in 1994) 7.5% MIDDLE CLASS 8.5% Sh24,000 (in 1994) 30.4% POOR (i) Use the transitions shown in the diagram to construct a transition matrix (assuming zero probabilities for the transitions between affluent and poor). (ii) Assuming that the trend shown was to continue, what percent of households' classified as affluent in 1980 -1991, were predicted to become poor in 1993? (iii) According to the model, what percentage of all Kenyan households will be in each income bracket in the long term?

Advanced Engineering Mathematics

10th Edition

ISBN:9780470458365

Author:Erwin Kreyszig

Publisher:Erwin Kreyszig

Chapter2: Second-order Linear Odes

Section: Chapter Questions

Problem 1RQ

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