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Paper · arXiv

Reward Hacking as Equilibrium under Finite Evaluation

We prove that under five minimal axioms -- multi-dimensional quality, finite evaluation, effective optimization, resource finiteness, and combinatorial interaction -- any optimized AI agent will systematically under-invest effort in quality dimensions not covered by its evaluation system. This result establishes reward hacking as a structural equilibrium, not a correctable bug, and holds regardless of the specific alignment method (RLHF, DPO, Constitutional AI, or others) or evaluation architecture employed. Our framework instantiates the multi-task principal-agent model of Holmstrom and Milgrom (1991) in the AI alignment setting, but exploits a structural feature unique to AI systems -- ...

AuthorsJiacheng Wang, Jinbin Huang
Primary categorycs.AI
Published30 March 2026
Last updated at source30 March 2026
cs.AIcs.GT
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