System Efficiency vs. Individual Performance in Competing Systems

Abstract

this paper addresses the issue of the relation between the system efficiency and the individual performance with different combinations of agent memory lengths in mix-game model which is an extension of minority game (MG). In mix-game, there are two groups of agents; group1 plays the majority game, but the group2 plays the minority game. The average winnings of agents can represent the average individual performance and the volatility of a system can represent the efficiency of the system. It is found the correlations between the average winnings of agents and the medians of local volatilities are different when agent memory lengths change with different combinations of m1=m2, m1<m2=6 and m2<m1=6. This paper also gives some suggestions for designing complex competing systems.