State-space model

A state-space model is a mathematical framework used to describe dynamic systems, such as machines, weather, or financial markets. It represents the system's internal condition (state) and how it evolves over time based on inputs and previous states. Think of it like tracking a vehicle: your current position and speed (state) change over time depending on accelerator input (control). The model uses equations to connect these states and inputs to predict future behavior, helping analyze, control, or estimate the system’s performance accurately.