@Sarg0n Thibault clearly explained the way the gradual adjustment algorithm works and clarified that it is almost at the p50 = 1500 stabilization point. There is no need to be pedantic.
The term "Hyperinflation" is (1) a cautionary nod towards historical lessons we should learn but that are often forgotten and (2) it is a perfectly appropriate quantitative descriptor.
In terms of (1) Any curious student of history will remember incidents stretching back from coinage devaluation in the roman crisis of the third century, to recent examples often taught in schools such as hyperinflation in the weimar republic 1920-1923. Hyperinflation occurs when there is a continuing increase in the amount of printed money in circulation that is not supported by growth in the output of goods and services, leading to a shift in their respective prices. The feedback between the the increase in the money supply and the demand-pull inflation may tempt a government to print more money. Since consumers expect continued inflation, they will buy more now to avoid paying a higher price later. The interaction between these factors leads to a vicious perpetuating cycle that is not easily halted.
Hyperinflation in a rating pool is where ratings are devalued with respect to skill. Since players participating in the glicko2 system will tend to credit their inflationary rating gains to skill, they are more likely to hold onto them and peak sit (in a similar way to consumers buying more goods/services). You can see this trend represented in an increase in spikes at xx00 ratings in the pool distribution graphs over the past 6 months.
Since the glicko2 system is a zero sum game where one player peak sitting will deprive the total pool of rating points, this leads to a situation where more algorithmically induced elo points may need to be introduced to the system to counteract this effect and shift the percentiles, leading to further rating devaluation. However, since the stabilization criteria of p=50 has nearly been reached, psychologically reactive effects to inflationary trends such as a pronounced increase in peak sitting will also diminish and stabilize to their prior norms.
In terms of (2) hyperflation is usually defined in economics as an inflation rate exceeding 50% per month or up to 5-10% in any given day. If we model the potential for inflationary increaeses in rating on a per player basis, we can see that it may reach or exceed this threshold. In @IsaVulpes thorough analysis linked above, in a specific example he demonstrated a net rating gain of 0.25 points added to the system per game, or 0.125 points per player per game. Let us assume that this algorithmic augmentation remains relatively constant with rating increases. Let us also assume that both player A and player B start at 2600, score equally and play hyperbullet (for more validity since this estimate was derived from the bullet pool). 2600 + 5% = 2730. 130/0.125 points per game = 1040 games necessary to reach 2730. The toal amont of hyperbullet games possible in 24 hours will be approximately 1 minute per game = 60 x 24 games = 1440. We can see that the 1040 games required is well within the threshold of significance to meet the criteria of "hyperinflation". It even gives both players time to grab some toast, watch a few TV shows and still inflate their ratings by 5%.
Please note that in this example, Player A and Player B play each other exclusively. If we introduce a 2rd, 3rd, 4th, etc player to the theoretical pool, the per player inflationary effects of the same total amount of games are diminished in proportion to the amount of players. Since rating (and monetary) systems tend to incentives agents to exploit the systems rules for maximum self benefit, we should define our criteria to protect against rating hyperinflation in the potentially worst case scenarios. This was the reason for my choice of word.
However, since all this was an intentional adjustment that is about to stabilize, we can all sleep easy.
@SoWeakAtThis I can also confirm that my ratings are up approximately 150 points despite no increase in skill and (likely) lifestyle induced slow, yet steady, brain deterioration.
Warm regards, Burrower 🙏
@Sarg0n Thibault clearly explained the way the gradual adjustment algorithm works and clarified that it is almost at the p50 = 1500 stabilization point. There is no need to be pedantic.
The term "Hyperinflation" is (1) a cautionary nod towards historical lessons we should learn but that are often forgotten and (2) it is a perfectly appropriate quantitative descriptor.
In terms of (1) Any curious student of history will remember incidents stretching back from coinage devaluation in the roman crisis of the third century, to recent examples often taught in schools such as hyperinflation in the weimar republic 1920-1923. Hyperinflation occurs when there is a continuing increase in the amount of printed money in circulation that is not supported by growth in the output of goods and services, leading to a shift in their respective prices. The feedback between the the increase in the money supply and the demand-pull inflation may tempt a government to print more money. Since consumers expect continued inflation, they will buy more now to avoid paying a higher price later. The interaction between these factors leads to a vicious perpetuating cycle that is not easily halted.
Hyperinflation in a rating pool is where ratings are devalued with respect to skill. Since players participating in the glicko2 system will tend to credit their inflationary rating gains to skill, they are more likely to hold onto them and peak sit (in a similar way to consumers buying more goods/services). You can see this trend represented in an increase in spikes at xx00 ratings in the pool distribution graphs over the past 6 months.
Since the glicko2 system is a zero sum game where one player peak sitting will deprive the total pool of rating points, this leads to a situation where more algorithmically induced elo points may need to be introduced to the system to counteract this effect and shift the percentiles, leading to further rating devaluation. However, since the stabilization criteria of p=50 has nearly been reached, psychologically reactive effects to inflationary trends such as a pronounced increase in peak sitting will also diminish and stabilize to their prior norms.
In terms of (2) hyperflation is usually defined in economics as an inflation rate exceeding 50% per month or up to 5-10% in any given day. If we model the potential for inflationary increaeses in rating on a per player basis, we can see that it may reach or exceed this threshold. In @IsaVulpes thorough analysis linked above, in a specific example he demonstrated a net rating gain of 0.25 points added to the system per game, or 0.125 points per player per game. Let us assume that this algorithmic augmentation remains relatively constant with rating increases. Let us also assume that both player A and player B start at 2600, score equally and play hyperbullet (for more validity since this estimate was derived from the bullet pool). 2600 + 5% = 2730. 130/0.125 points per game = 1040 games necessary to reach 2730. The toal amont of hyperbullet games possible in 24 hours will be approximately 1 minute per game = 60 x 24 games = 1440. We can see that the 1040 games required is well within the threshold of significance to meet the criteria of "hyperinflation". It even gives both players time to grab some toast, watch a few TV shows and still inflate their ratings by 5%.
Please note that in this example, Player A and Player B play each other exclusively. If we introduce a 2rd, 3rd, 4th, etc player to the theoretical pool, the per player inflationary effects of the same total amount of games are diminished in proportion to the amount of players. Since rating (and monetary) systems tend to incentives agents to exploit the systems rules for maximum self benefit, we should define our criteria to protect against rating hyperinflation in the potentially worst case scenarios. This was the reason for my choice of word.
However, since all this was an intentional adjustment that is about to stabilize, we can all sleep easy.
@SoWeakAtThis I can also confirm that my ratings are up approximately 150 points despite no increase in skill and (likely) lifestyle induced slow, yet steady, brain deterioration.
Warm regards, Burrower 🙏