A framework that unifies existing source and channel models for key agreement over wireless fading channels is developed in this paper. It is shown that, in general, to fully exploit the resources provided by time-varying channel gains, one needs to combine both the channel model and the source model. Asymptotic analyses suggest that in the long coherence time regime, the channel model is asymptotically optimal. On the other hand, in the high SNR regime, the source model is asymptotically optimal.
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