Large Language Models’ Strategic Behavior: Context vs. Framing

In this article, the authors explore the concept of information design in a world where generative AI is becoming increasingly prevalent. They examine how an informed sender can use simulation oracles to improve their understanding of a receiver’s beliefs and optimize their information structure for persuasion purposes. The authors provide theoretical frameworks for understanding how querying an oracle can help the sender better understand the receiver’s beliefs, even when the sender has limited information about those beliefs. They also discuss the potential applications of this approach in various fields, such as customer surveys and marketing.
The article begins by defining the concept of information design and how it relates to economic games with uncertain outcomes. The authors then introduce the idea of simulation oracles, which are oracles that can simulate a participant’s strategic behavior in a game, providing the designer with additional information to refine their beliefs about the participant’s beliefs. They discuss how this approach can be particularly useful when the sender has limited information about the receiver’s beliefs, as it allows them to make more informed decisions about how to structure their message.
The authors then delve into the theoretical frameworks for understanding how querying an oracle can help the sender better understand the receiver’s beliefs. They provide examples of different types of query structures that can be used in this context and discuss the properties of the sender’s utility under each structure. They also explore the relationship between adaptive and non-adaptive querying policies, highlighting the advantages and disadvantages of each approach.
Finally, the authors extend their analysis to include the possibility of uninformed receivers, who have no information about the game being played. They show how this changes the optimal querying policy for the sender and discuss potential applications of this approach in fields such as marketing and customer surveys.
Overall, the article provides a comprehensive overview of the concept of information design in the age of generative AI, highlighting the potential benefits of using simulation oracles to improve our understanding of others’ beliefs and optimize our messages for persuasion purposes.