Beyond curse of dimensionality with transition matrices

 

We implement the column-by-column way to the model with structural changes.

 

We additionally implement the global interpolations afterwards.

 

we smooth out the points on the grid by one of the following ways:

 

0:linear interpolation

1:polynomial

2:LOESS

3:LOWESS

4:Kernel regression

5:Smoothing natural spline

6:NURBS

7:Bezier Curve     

 

by some parameters. When we set 0 to smoothing option, it is the same as what we did

 

in 1227 on the grid as long as we start from a point on the grid.