Influence of external information in the minority game

TL;DR

This paper investigates how fixed agents with unchanging behavior influence the dynamics of the minority game, revealing that external information can cause overreactions and deviations from optimal collective outcomes.

Contribution

It introduces the effect of fixed agents on minority game dynamics, showing how external information impacts agent behavior and system fluctuations.

Findings

Fixed agents induce large fluctuations in the system.

External information causes agents to overreact, deviating from optimal states.

Agents discounting their impact reach different equilibrium states.

Abstract

The influence of a fixed number of agents with the same fixed behavior on the dynamics of the minority game is studied. Alternatively, the system studied can be considered the minority game with a change in the comfort threshold away from half filling. Agents in the frustrated, non ergodic phase tend to overreact to the information provided by the fixed agents, leading not only to large fluctuations, but to deviations of the average occupancies from their optimal values. Agents which discount their impact on the market, or which use individual strategies reach equilibrium states, which, unlike in the absence of the external information provided by the fixed agents, do not give the highest payoff to the collective.