Strategy Selection in the Minority Game

Nonlinear Sciences – Adaptation and Self-Organizing Systems

Scientific paper

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Latex file, 17 page, 4 figures

Scientific paper

10.1016/S0378-4371(99)00605-6

We investigate the dynamics of the choice of an active strategy in the minority game. A history distribution is introduced as an analytical tool to study the asymmetry between the two choices offered to the agents. Its properties are studied numerically. It allows us to show that the departure from uniformity in the initial attribution of strategies to the agents is important even in the efficient market. Also, an approximate expression for the variance of the number of agents at one side in the efficient phase is proposed. All the analytical propositions are supported by numerical simulations of the system.

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