Which just means you shouldn't use unbound references.
How do you know that a given syntactic specification of a function doesn't "use unbound references"? Presence of a logical dependence on agent's action looks like something algorithmically impossible to detect. You can of course focus on a class of syntactic specifications that are known to not depend on agent's action (for example, GLUTs), but this is too restrictive for a FAI-grade decision theory that can handle the actual world, and ignores the problem of whether the process that specified that GLUT could itself logically depend on agent's action. (The very setup of a thought experiment could be controlled by an agent acting inside it, for example, for strange enough or sensitive-to-detail enough thought experiments.)
How do you know that a given syntactic specification of a function doesn't "use unbound references"?
Give it as input to a compiler and see if it gives an error message or not. Or apply the same trivial procedure compilers use: read it and look for a definition for every symbol that is not itself the left hand side of a definition.
Some people on LW have expressed interest in what's happening on the decision-theory-workshop mailing list. Here's an example of the kind of work we're trying to do there.
In April 2010 Gary Drescher proposed the "Agent simulates predictor" problem, or ASP, that shows how agents with lots of computational power sometimes fare worse than agents with limited resources. I'm posting it here with his permission:
About a month ago I came up with a way to formalize the problem, along the lines of my other formalizations:
Also Wei Dai has a tentative new decision theory that solves the problem, but this margin (and my brain) is too small to contain it :-)
Can LW generate the kind of insights needed to make progress on problems like ASP? Or should we keep working as a small clique?