An optimizing finite-state transducer is a nondeterministic finite-sta
te transducer in which states are either maximizing or minimizing. In
a given state, the optimal output is the maximum or minimum - over all
possible transitions - of the transition output concatenated with the
optimal output of the resulting state. The ranges of optimizing finit
e-state transducers form a class in NL which includes a hierarchy base
d on the number of alternations of maximizing and minimizing states in
a computation.