Related papers: Strategic AI in Cournot Markets

Machine-learning technologies are seeing increased deployment in real-world market scenarios. In this work, we explore the strategic behaviors of large language models (LLMs) when deployed as autonomous agents in multi-commodity markets,…

We conduct experiments with algorithmic pricing agents based on Large Language Models (LLMs). In oligopoly settings, LLM-based pricing agents quickly and autonomously reach supracompetitive prices and profits. Variation in seemingly…

This study explores the potential of large language models (LLMs) to conduct market experiments, aiming to understand their capability to comprehend competitive market dynamics. We model the behavior of market agents in a controlled…

As artificial intelligence (AI) agents are deployed across economic domains, understanding their strategic behavior and market-level impact becomes critical. This paper puts forward a groundbreaking new framework that is the first to…

As foundation models are increasingly deployed as interacting agents in multi-agent systems, their collective behavior raises new challenges for trustworthiness, transparency, and accountability. Traditional coordination mechanisms, such as…

Large language model (LLM) agents are increasingly deployed in competitive multi-agent settings, raising fundamental questions about whether they converge to equilibria and how their strategic behavior can be characterized. In this paper,…

In the rapidly evolving landscape of eCommerce, Artificial Intelligence (AI) based pricing algorithms, particularly those utilizing Reinforcement Learning (RL), are becoming increasingly prevalent. This rise has led to an inextricable…

LLM agents in markets present algorithmic collusion risks. While prior work shows LLM agents reach supracompetitive prices through tacit coordination, existing research focuses on hand-crafted prompts. The emerging paradigm of prompt…

The rapid advancement of LLMs sparked significant interest in their potential to augment or automate managerial functions. One of the most recent trends in AI benchmarking is performance of Large Language Models (LLMs) over longer time…

As large language models (LLMs) have demonstrated strong reasoning abilities in structured tasks (e.g., coding and mathematics), we explore whether these abilities extend to strategic multi-agent environments. We investigate strategic…

The ability of large language models (LLMs) to manage and acquire economic resources remains unclear. In this paper, we introduce \textbf{Market-Bench}, a comprehensive benchmark that evaluates the capabilities of LLMs in…

This paper presents a realistic simulated stock market where large language models (LLMs) act as heterogeneous competing trading agents. The open-source framework incorporates a persistent order book with market and limit orders, partial…

As AI agents increasingly act on behalf of human stakeholders in economic settings, understanding their behavior in complex market environments becomes critical. This article examines how Large Language Models coordinate on markets that are…

As large language models (LLMs) increasingly act as autonomous agents in markets and organizations, their behavior in strategic environments becomes economically consequential. We document that off-the-shelf LLM agents exhibit systematic…

We explore the potential of Large Language Models (LLMs) to replicate human behavior in economic market experiments. Compared to previous studies, we focus on dynamic feedback between LLM agents: the decisions of each LLM impact the market…

Large language models (LLMs) have demonstrated impressive capabilities as autonomous agents with rapidly expanding applications in various domains. As these agents increasingly engage in socioeconomic interactions, identifying their…

This paper explores the application of large language models (LLMs) in designing strategic mechanisms -- including auctions, contracts, and games -- for specific purposes in communication networks. Traditionally, strategic mechanism design…

The rise of Large Language Models (LLMs) has driven progress in reasoning tasks -- from program synthesis to scientific hypothesis generation -- yet their ability to handle ranked preferences and structured algorithms in combinatorial…

This paper examines how data inputs shape competition among artificial intelligences (AIs) in pricing games. The dataset assigns labels to consumers and divides them into different markets, thereby inducing multimarket contact among AIs. We…

Multi-agent LLM ensembles can converge on coordinated, socially harmful equilibria. This paper advances an experimental framework for evaluating Institutional AI, our system-level approach to AI alignment that reframes alignment from…