Support sufficiency as action-sufficient compression: a single-cycle rate-regret formulation

Abstract: Robust decision-making requires compression. A system that forms a rich support state cannot usually preserve its full structure at the point of action. It must retain only those distinctions needed to act, verify, abstain, or defer under the current consequence geometry. This paper formalizes support sufficiency as action-sufficient compression. Let $H$ denote a full support state, $\mathcal{A}$ a finite action set, and $Z$ a consequence geometry specifying payoff structure. For fixed $Z$, the coarsest exactly action-sufficient compression is the quotient of support space by policy equivalence. Two support states may be merged exactly when they require the same optimal action. This clarifies why content-only and scalar-confidence-only arbitration fail whenever their induced partitions cross action boundaries. Approximate sufficiency is then defined by bounded expected policy regret. In the finite single-cycle setting, this yields a rate-regret problem with source $H$, reproduction alphabet $\mathcal{A}$, and distortion given by consequence-sensitive regret. The optimal stochastic action channel inherits the standard rate-distortion Gibbs form, applied here to support states with regret distortion. The contribution is interpretive: action adequacy is distinguished from reconstruction fidelity, information-bottleneck prediction, and rational inattention. Robust single-cycle arbitration does not require preserving all support, but it does require preserving the distinctions that consequence geometry makes action-relevant.