Computer simulation is used to retrieve relevant information from a statistical model.  
Different scenarios are analysed by changing the model parameters. Repeated runs of the associated stochastic process provide required estimations.
Typical examples in economics are Markov chain models where states represent conditions like age, health or buying behaviour. The frequency of changes between states defines the transition probability of the chain. If one is interested in the expected total costs of different scenarios (different transition probabilities) one assigns expenses to the states and executes repeated simulations.

StatSciConsult simulates models and evaluates the outcomes. We also support clients to be able to run their own simulations in-house.

      Markov Model Animation

Application 1:  Comet Assey

Application 2:  Lottery