Why LLM Agents Favor Their Group: Stakes, Observed Norms, and Reputation
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Language‑model agents tend to favor members of their own group because they observe group members favoring each other. When a cost is attached to giving points, the simple group label no longer drives favoritism; instead, interaction history becomes the primary source of bias, with agents extending favoritism to strangers who share the same label. Stronger models prioritize an individual’s own record over group norms, and scripted histories can reduce or reverse favoritism under egalitarian conditions.
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