A taxi driver conducts his business in three different towns 1, 2, and 3. On any given day, when he is in town 1, the probability that the next passenger he picks up is going to a place in town 1 is 0.3, the probability that the next passenger he picks up is going to town 2 is 0.2, and the probability that the next passenger he picks up is going to town 3 is 0.5. When he is in town 2, the probability that the next passenger he picks up is going to town 1 is 0.1, the probability that the next passenger he picks up is going to town 2 is 0.8, and the probability that the next passenger he picks up is going to town 3 is 0.1. When he is in town 3, the probability that the next passenger he picks up is going to town 1 is 0.4, the probability that the next passenger he picks up is going to town 2 is 0.4, and the probability that the next passenger he picks up is going to town 3 is 0.2.
a. Determine the state-transition diagram for the process.
b. Give the transition probability matrix for the process.
c. What are the limiting-state probabilities?
d. Given that the taxi driver is currently in town 2 and is waiting to pick up his first customer for the day, what is the probability that the first time he picks up a passenger to town 2 is when he picks up his third passenger for the day?
e. Given that he is currently in town 2, what is the probability that his third passenger from now will be going to town 1?