Food Price Inflation Rates in the Euro Zone: Distribution Dynamics and Convergence Analysis

Table 3

Markov transition probability matrices and ergodic distributions for “food”, “vegetables”, “bread and cereals”, and “meat” groups.

		State in period 𝑡+1
		L-state	C-state	H-state	Number of transitions
Food
Grid (−∞,−0.008402,0.00920669,+∞), states: 3
State in period t	L-state	0.3246	0.4749	0.2004	310
	C-state	0.2497	0.5106	0.2397	682
	H-state	0.2036	0.4412	0.3552	247
	ergodic	0.2570	0.4834	0.2596
Vegetables
Grid (−∞,−0.031727,0.0333225,+∞), states: 3
State in period t	L-state	0.1589	0.4393	0.4018	381
	C-state	0.2249	0.5469	0.2282	700
	H-state	0.4049	0.4336	0.1615	256
	ergodic	0.2541	0.4906	0.2553
Bread and cereals
Grid (−∞,−0.008490,0.00914554,+∞), states: 3
State in period t	L-state	0.4215	0.4559	0.1226	269
	C-state	0.2350	0.5831	0.1818	738
	H-state	0.1435	0.3161	0.5404	305
	ergodic	0.2597	0.4808	0.2595
Meat
Grid (−∞,−0.009169,0.01217942,+∞), states: 3
State in period t	L-state	0.3363	0.4374	0.2264	302
	C-state	0.2493	0.4895	0.2612	563
	H-state	0.2279	0.4338	0.3382	231
	ergodic	0.2667	0.4604	0.2729