Dynamic Shannon Coding

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We present a new algorithm for dynamic prefix-free coding, based on Shannon coding. We give a simple analysis and prove a better upper bound on the length of the encoding produced than the corresponding bound for dynamic Huffman coding. We show how our algorithm can be modified for efficient length-restricted coding, alphabetic coding and coding with unequal letter costs.
6 pages; conference version presented at ESA 2004; journal version submitted to IEEE Transactions on Information Theory

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