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CASE STUDY 523 14-33 Lulu is a surfer who lives in Conway, South Carolina. Through experience, she has determined the transi- tion probabilities for

 

CASE STUDY 523 14-33 Lulu is a surfer who lives in Conway, South Carolina. Through experience, she has determined the transi- tion probabilities for surf conditions from any one day to the next at nearby North Myrtle Beach: GOOD FAIR POOR Good 0.9 0.05 0.05 Fair 0.7 0.2 0.1 Poor 0.5 0.3 0.2 Determine the equilibrium probabilities of good, fair, and poor surf conditions. What does this tell you about surfing conditions in general at North Myrtle Beach?

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