choice.discretize_state

Guide & worked example · Source

choice.discretize_state(
    continuous_state,
    n_bins,
    method='quantile',
    state_min=None,
    state_max=None,
)

Discretize continuous state variable into bins.

Args: continuous_state: (n_obs,) continuous state values n_bins: Number of discrete bins method: “quantile” (equal counts) or “uniform” (equal width) state_min: Override minimum for uniform binning state_max: Override maximum for uniform binning

Returns: discrete_state: (n_obs,) discretized state indices in {0,…,n_bins-1}

Example: >>> # Discretize mileage into 90 bins >>> mileage_discrete = discretize_state( … continuous_state=mileage, … n_bins=90, … method=“uniform”, … state_min=0, … state_max=450000 … )

References: Rust (1987): Uses uniform discretization for mileage state space