We rigorously analyze Knill's Fibonacci scheme for fault-tolerant quantum
computation, which is based on the recursive preparation of Bell states
protected by a concatenated error-detecting code. We prove lower bounds on the
threshold fault rate of .67\times 10^{-3} for adversarial local stochastic
noise, and 1.25\times 10^{-3} for independent depolarizing noise. In contrast
to other schemes with comparable proved accuracy thresholds, the Fibonacci
scheme has a significantly reduced overhead cost because it uses postselection
far more sparingly.Comment: 24 pages, 10 figures; supersedes arXiv:0709.3603. (v2): Additional
discussion about the overhead cos