The error exponent of Markov channels with feedback is studied in thevariable-length block-coding setting. Burnashev's classic result is extendedand a single letter characterization for the reliability function offinite-state Markov channels is presented, under the assumption that thechannel state is causally observed both at the transmitter and at the receiverside. Tools from stochastic control theory are used in order to treat channelswith intersymbol interference. In particular the convex analytical approach toMarkov decision processes is adopted to handle problems with stopping timehorizons arising from variable-length coding schemes.
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