How language model agents reshape price competition

arXiv:2610.21711 · cs.GT, cs.LG, cs.MA, econ.GN, q-fin.EC · Submitted 2026-10-15 · Read on arXiv

cs.GT, cs.LG, cs.MA, econ.GN, q-fin.EC

Submitted: 2026-10-15

Updated: 2026-10-15

Code: https://github.com/anthropics/commerce-agents

Terminology

• Regret — 78× in this paper · explained in 4 episodes
• Trace — 50× in this paper · explained in 2 episodes
• Benchmark — 39× in this paper · explained in 2 episodes
• Ablation — 38× in this paper · explained in 1 episode
• Adaptation — 15× in this paper · explained in 1 episode
• Foundation Model — 9× in this paper · explained in 3 episodes
• Nash Equilibrium — 9× in this paper · explained in 2 episodes
• Harness — 8× in this paper · explained in 2 episodes
• Robustness — 7× in this paper · explained in 5 episodes
• Q-learning — 6× in this paper · explained in 3 episodes
• Action Space — 5× in this paper · explained in 1 episode
• Foundation Models — 4× in this paper · explained in 7 episodes
• Hyperparameters — 4× in this paper · explained in 2 episodes
• Accuracy — 2× in this paper · explained in 1 episode
• Multi-Agent System — 2× in this paper · explained in 7 episodes
• Reasoning Traces — 2× in this paper · explained in 4 episodes
• Reinforcement Learning — 2× in this paper · explained in 4 episodes
• Wasserstein Distance — 2× in this paper · explained in 5 episodes
• Adaptivity — 1× in this paper · explained in 1 episode
• Adversarial Model — 1× in this paper · explained in 2 episodes
• Calibration — 1× in this paper · explained in 9 episodes
• Commentary — 1× in this paper · explained in 2 episodes
• Entropy Regularization — 1× in this paper · explained in 2 episodes
• Fidelity — 1× in this paper · explained in 2 episodes
• Generative AI — 1× in this paper · explained in 2 episodes
• Large Language Models (LLMs) — 1× in this paper · explained in 8 episodes
• Papers — 1× in this paper · explained in 3 episodes
• Regularization — 1× in this paper · explained in 3 episodes
• Training Objective — 1× in this paper · explained in 3 episodes

Sources

• LLP: LLM-Based Product Pricing in E-commerce
• Convergence of Stochastic First-Order Algorithms in Bertrand Competition Under Incomplete Information
• Proximal Policy Optimization Algorithms
• Algorithmic Collusion by Large Language Models
• On the Fragility of AI Agent Collusion
• When Agents Say One Thing and Do Another: Validating Elicited Beliefs from LLMs

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