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arXiv — cs.AI preprintsInternational9 October 2026

Why LLM Agents Favor Their Group: Stakes, Observed Norms, and Reputation

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arXiv:2610.11008v1 Announce Type: cross Abstract: Language-model agents favor their own group because they have watched their members favor each other. The group label alone does little once the decision has a cost; what drives favoritism is observed behavior, and an individual's own record can override it. We test this in small societies with arbitrary group labels, ten rounds of point sharing, and matched one-shot decisions across fifteen OpenAI models and three Claude models, about 4,400 societies and 3.3 million audited model calls. First, the large effect of a bare group label reported in
— arXiv — cs.AI preprints

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