Finite-state strategy (source code)

= Finite-state strategy

A history-dependent <pure strategy> represented by a <finite-state machine> with an initial <automaton state>, an action output for each state, and an <automaton transition> after each observed completed joint action. A <grim trigger strategy> uses a following state and an absorbing punishment state. Two such deterministic machines jointly form a finite deterministic state system, so their action path is eventually periodic. Its <long-run average payoffs> are the averages over the eventual cycle; a finite initial prefix has vanishing weight.