Complexity and effective prediction
Let G= be a two-person zero-sum game. We examine the two-person zero-sum repeated game G(k,m) in which players 1 and 2 place down finite state automata with k,m states respectively and the payoff is the average per-stage payoff when the two automata face off. We are interested in the cases in which player 1 is "smart" in the sense that k is large but player 2 is "much smarter" in the sense that m>>k. Let S(g) be the value of G where the second player is clairvoyant, i.e., would know player 1's move in advance. The threshold for clairvoyance is shown to occur for m near . For m of roughly that size, in the exponential scale, the value is close to S(g). For m significantly smaller (for some stage payoffs g) the value does not approach S(g).
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Abraham Neyman, 2008.
"Learning Effectiveness and Memory Size,"
Discussion Paper Series
dp476, The Federmann Center for the Study of Rationality, the Hebrew University, Jerusalem.
- Abraham Neyman, 2008. "Learning Effectiveness and Memory Size," Levine's Working Paper Archive 122247000000002427, David K. Levine.
- Abraham Neyman, 2008. "Learning Effectiveness and Memory Size," Levine's Working Paper Archive 122247000000001945, David K. Levine.
- Abraham Neyman & Daijiro Okada, 2000. "Two-person repeated games with finite automata," International Journal of Game Theory, Springer;Game Theory Society, vol. 29(3), pages 309-325.
- Ben-Porath Elchanan, 1993. "Repeated Games with Finite Automata," Journal of Economic Theory, Elsevier, vol. 59(1), pages 17-32, February.