This dissertation addresses the general problem of recognition of acoustic signals which may be derived from speech, sonar, or acoustic phenomena. The specific problem of recognizing speech is the main focus of this research. The intention is to design a recognition system for a definite number of discrete words. For this purpose specifically, eight isolated words from the T1MIT database are selected. Four medium length words "greasy," "dark," "wash," and "water" are used. In addition, four short words are considered "she," "had," "in," and "all." The recognition system addresses the following issues: filtering or preprocessing, training, and decision-making. The preprocessing phase uses linear predictive coding of order 12. Following the filtering process, a vector quantization method is used to further reduce the input data and generate a finite inductive sequence of symbols representative of each input signal. The sequences generated by the vector quantization process of the same word are factored, and a single ruling or reference template is generated and stored in a codebook. This system introduces a new modeling technique which relies heavily on the basic concept that all finite sequences are finitely inductive. This technique is used in the training stage. In order to accommodate the variabilities …