9,651 research outputs found

    Criticality in Formal Languages and Statistical Physics

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    We show that the mutual information between two symbols, as a function of the number of symbols between the two, decays exponentially in any probabilistic regular grammar, but can decay like a power law for a context-free grammar. This result about formal languages is closely related to a well-known result in classical statistical mechanics that there are no phase transitions in dimensions fewer than two. It is also related to the emergence of power-law correlations in turbulence and cosmological inflation through recursive generative processes. We elucidate these physics connections and comment on potential applications of our results to machine learning tasks like training artificial recurrent neural networks. Along the way, we introduce a useful quantity which we dub the rational mutual information and discuss generalizations of our claims involving more complicated Bayesian networks.Comment: Replaced to match final published version. Discussion improved, references adde

    Free Entry in a Cournot Market with Imperfectly Substituting Goods

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    Two results are shown about the free-entry equilibrium in a Cournot market with asymmetric firms and imperfectly substituting goods. First, only one technology will survive in the production of each good. Second, some good(s) may not be produced. Specifically, we show that in a two-good model only one good is produced if the substitution parameter is higher than a critical value and both goods are produced for smaller substitution parameter values.Free-entry equilibrium; Cournot competition; substituting goods
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