Discipline: Mathematics and Statistics
Subcategory: Mathematics and Statistics
Room: Exhibit Hall A
Lauri Kight - Southern University
This research focused on the determination of income transition using Markov Chain transition matrix. Markov chain is a stochastic process of mathematical model describing a system of events that progresses over time in a probabilistic manner. The research involved generations of family members and their income levels. The class income levels were classified as lower-class, middle-class, and upper-class. Individuals in the lower-class were classified as state 1, middle-class as state 2 and upper-class as state 3. Probabilities for change in income over two, three, four, and five generations were examined. That is, the probability of a parent being in state 3 (upper-class) and the second, third, fourth, and fifth generations being in state 2 (middle-class), were calculated. The analysis of the calculation using transition matrix resulted in the probability for the second generation being 0.46, third generation 0.52, fourth generation 0.49, and fifth generation 0.49. It was concluded that as the generations increases the probability of transition from upper-class to middle-class became almost stable.
Funder Acknowledgement(s): LSAMP; Southern University A&M College
Faculty Advisor: Phyllis Okwan, firstname.lastname@example.org
Role: I did all the computing and reading on this subject.