arXiv q-fin· Adi Tarabeih·· 5 hr agoAI Score48
Prospect Theory in Large Language Models: A Meta-Analysis of Loss Aversion, Diminishing Sensitivity, and Probability Weighting
Prospect Theory in Large Language Models: A Meta-Analysis of Loss Aversion, Diminishing Sensitivity, and Probability Weighting
AI summary
A meta-analysis of 102 fitted estimates across 11 studies covering 32 LLMs shows low loss aversion, with a pooled λ of 1.26, far below the strongest human meta-analytic estimate of 1.96. Diminishing sensitivity of the value function varies by measurement method, but probability weighting exhibits a human-like inverse-S shape.
Source:arXiv q-fin · arxiv.org