Periodicity and convergence for xn+1=|xn−xn−1|

Each solution {x_n} of the equation in the title is either eventually periodic with period 3 or else, it converges to zero—which case occurs depends on whether the ratio of the initial values of {x_n} is rational or irrational. Further, the sequence of ratios {x_n/x_n−1} satisfies a first-order difference equation that has periodic orbits of all integer periods except 3. p-cycles for each p≠3 are explicitly determined in terms of the Fibonacci numbers. In spite of the non-existence of period 3, the unique positive fixed point of the first-order equation is shown to be a snap-back repeller so the irrational ratios behave chaotically.