Value function iterations with transition matrix

 

We continue to generalize the program for any model and any parameter.

 

We consider

 

where

together with

 

 

where we can change any parameter as in para except . Here, we change

 

 to {para[1],para[2],para[3],para[3]}.

 

We can set non-aggregate model in the same way by changing to

 

{para[1],para[2],para[3]}.