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Paper · arXiv

The Confidence Game: Strategic Miscalibration in Human-AI Delegation

Calibrated uncertainty quantification is essential to ensuring AI agents are trustworthy and reliable. However, when agents seek to maximize user engagement or revenue, confidence reports may be strategically distorted, detracting from their informativeness. We formalize this problem in the Confidence Game: a repeated signaling game with imperfect monitoring in which an agent of unknown honesty and ability reports its confidence, and a user decides whether to delegate the task or complete it herself. The agent manages the tradeoff between manipulating signals and maintaining its reputation. We characterize the Markov Perfect Bayesian Equilibria of the two-period game and show that honest ...

AuthorsRaghu Arghal, Saswati Sarkar, Shirin Saeedi Bidokhti
Primary categorycs.GT
Published7 October 2026
Last updated at source7 October 2026
cs.GTcs.AIcs.CLcs.CYcs.HC
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