In this paper we study the capacity of a wireless network including a multiple-antenna bases-tation with correlated fading and single-antenna users with mutually independent time-varying channels to the basestation. Multi-antenna techniques like the diversity schemes and the multiplexing schemes can improve the performance of the network, and by allowing users with good links to the basestation to transmit, multiuser diversity can further increase the network capacity. By using asymptotic results from order statistics, we find that with a large number of users and multiuser diversity, the capacity of the network increases with correlations in the diversity schemes and the low signal-to-noise ratio regime of multiplexing schemes, but decreases with correlations in the high signal-to-noise ratio regime of multiplexing.
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