Validators

I have still not read more of the latest, great paper. But I noticed they introduced our pit boss, called it a validator. What King calls the entrepreneurs, and finance calls the market maker. Let us reinvent them as validators.

The validaor accepts message from one party as long as they are consistent with the current hypothesis. When it is in conflict, the validator accept the same logic from the other party. And the validator never lets a disagreement go unresolved.
The issue was, will the validator get into a loop? A lop like our Congress?

I love this stuff. I need to make jump the Markov on this and allow two hypothesis to run against three parties. The math folks will be generating some great texts on this stuff, an applications.

Why sandbox always tends toward the next best optimum?

Optimum is when inventory risk is spread evenly along the chain. In sandbox we have free entry and exit, the traders meet specifically to follow the optimum.
Take the three color, the pit boss is not default, it runs a color, up the Markov.
In central banking, that third is really close to the one year treasury rate which is usually in conflict. So, S and L, to gain channel space run very long agreements with government, letting the current conflict pass. Eventually it has a conflict with the other color and another long sequence of agreements happen before both colors get a bit worried about government and pass the flag.. They have to hedge the erratic Congress we have. Congress agrees with little then wants a subsidy subsidy and passes the baton back.

What do the s and ls agree on most? The estimated risk of uncover government cost. They keep that well hedged. Eventually one side or the other gets a bit scaredy about implied taxes and punts.

Congress needs to bet the cost of its own erratic behavior, and we will pay it, we are stuck.  But we need a long term bet. Then we can jump the Markov just fine. Look backwards, that ratio is theier.  The three colors properly validated, inventories remain adiabatic over the depreciation cycle. But I warn you, Congress friggs up quit a bit. It needs bandwidth, it is not a neutral pit boss.

In physics the uncertainty is ow, that channel large. So those queues are very short and at the quantum level become a combinatorial problem, and that is how they count up those forces, what combinations could be causing this measurement from a limited set. That is where a three color validator model might be fun.

Self sampling systems introduce the third party. That party manages the market uncertainty and packs the channel. From there we have an entire science, applicable over problem that minimize structured queues..