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As a firm varies the price of a product, consumers exhibit reference effects, making purchase decisions based not only on the prevailing price but also the product's price history. We consider the problem of learning such behavioral…
With the rapid advancement of large language models (LLMs), aligning them with human values for safety and ethics has become a critical challenge. This problem is especially challenging when multiple, potentially conflicting human values…
Search-augmented reasoning agents interleave multi-step reasoning with external information retrieval, but uncontrolled retrieval often leads to redundant evidence, context saturation, and unstable learning. Existing approaches rely on…
In financial markets valuable information is rarely circulated homogeneously, because of time required for information to spread. However, advances in communication technology means that the 'lifetime' of important information is typically…
We provide closed-form market equilibrium formula consolidating informational imperfections and investors beliefs. Based on Merton's model, we characterize the equilibrium expected excess returns vector with incomplete information. We then…
Information is replicable in that it can be simultaneously consumed and sold to others. We study how resale affects a decentralized market for information. We show that even if the initial seller is an informational monopolist, she captures…
We modify the standard model of price competition with horizontally differentiated products, imperfect information, and search frictions by allowing consumers to flexibly acquire information about a product's match value during their…
The advent of Large Language Models (LLMs) heralds a pivotal shift in online user interactions with information. Traditional Information Retrieval (IR) systems primarily relied on query-document matching, whereas LLMs excel in comprehending…
We explore a model of duopolistic competition in which consumers learn about the fit of each competitor's product. In equilibrium, consumers comparison shop: they learn only about the relative values of the products. When information is…
Conflicts of interest often arise between data sources and their users regarding how the users' information needs should be interpreted by the data source. For example, an online product search might be biased towards presenting certain…
An asymmetric information model is introduced for the situation in which there is a small agent who is more susceptible to the flow of information in the market than the general market participant, and who tries to implement strategies…
Conventional predictive modeling of parametric relationships in manufacturing processes is limited by the subjectivity of human expertise and intuition on the one hand and by the cost and time of experimental data generation on the other…
A seller posts a price for a single object. The seller's and buyer's values may be interdependent. We characterize the set of payoff vectors across all information structures. Simple feasibility and individual-rationality constraints…
Learning customer preferences from an observed behaviour is an important topic in the marketing literature. Structural models typically model forward-looking customers or firms as utility-maximizing agents whose utility is estimated using…
Large language models (LLM) are generating information at a rapid pace, requiring users to increasingly rely and trust the data. Despite remarkable advances of LLM, Information generated by LLM is not completely trustworthy, due to…
By leveraging the retrieval of information from external knowledge databases, Large Language Models (LLMs) exhibit enhanced capabilities for accomplishing many knowledge-intensive tasks. However, due to the inherent flaws of current…
This paper investigates the "Exploitation Business" model, which capitalizes on information asymmetry to exploit vulnerable populations. It focuses on businesses targeting non-experts or fraudsters who capitalize on information asymmetry to…
The web is littered with images, once created for human consumption and now increasingly interpreted by agents using vision-language models (VLMs). These agents make visual decisions at scale, deciding what to click, recommend, or buy. Yet,…
We consider an American contingent claim on a financial market where the buyer has additional information. Both agents (seller and buyer) observe the same prices, while the information available to them may differ due to some extra…
Large Language Models (LLMs) have demonstrated remarkable capabilities in various reasoning tasks, yet they often struggle with problems involving missing information, exhibiting issues such as incomplete responses, factual errors, and…