Balance equation

In probability theory, a balance equation is an equation that describes the probability flux associated with a Markov chain in and out of states or set of states.

[1] The global balance equations (also known as full balance equations[2]) are a set of equations that characterize the equilibrium distribution (or any stationary distribution) of a Markov chain, when such a distribution exists.

For a continuous time Markov chain with state space

, the global balance equations are given by[3] or equivalently for all

represents the probability flux from state

So the left-hand side represents the total flow from out of state i into states other than i, while the right-hand side represents the total flow out of all states

In general it is computationally intractable to solve this system of equations for most queueing models.

[4] For a continuous time Markov chain (CTMC) with transition rate matrix

, the global balance equations are satisfied and

[5] If such a solution can be found the resulting equations are usually much easier than directly solving the global balance equations.

[4] A CTMC is reversible if and only if the detailed balance conditions are satisfied for every pair of states

A discrete time Markov chain (DTMC) with transition matrix

,[6] When a solution can be found, as in the case of a CTMC, the computation is usually much quicker than directly solving the global balance equations.

In some situations, terms on either side of the global balance equations cancel.

[1] These balance equations were first considered by Peter Whittle.

to the local balance equations is always a solution to the global balance equations (we can recover the global balance equations by summing the relevant local balance equations), but the converse is not always true.

[2] Often, constructing local balance equations is equivalent to removing the outer summations in the global balance equations for certain terms.

[1] During the 1980s it was thought local balance was a requirement for a product-form equilibrium distribution,[10][11] but Gelenbe's G-network model showed this not to be the case.