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lectures/markov_chains_II.md
@@ -71,6 +71,8 @@ that
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The stochastic matrix $P$ is called **irreducible** if all states communicate;
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that is, if $x$ and $y$ communicate for all $(x, y)$ in $S \times S$.
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+```{prf:example}
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+:label: mc2_ex_ir
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For example, consider the following transition probabilities for wealth of a
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fictitious set of households
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@@ -95,6 +97,7 @@ $$
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It's clear from the graph that this stochastic matrix is irreducible: we can eventually
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reach any state from any other state.
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+```
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We can also test this using [QuantEcon.py](http://quantecon.org/quantecon-py)'s MarkovChain class
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