When AI Democratizes Exploitation: LLM-Assisted Strategic Manipulation of Fair Division Algorithms

Fuente: arXiv
Saved in:
Bibliographic Details
Main Authors: Verma, Priyanka, Unnikrishnan, Balagopal
Format: Preprint
Published: 2025
Subjects:
Online Access:
Tags: Add Tag
No Tags, Be the first to tag this record!
_version_ 1866911460756553728
author Verma, Priyanka
Unnikrishnan, Balagopal
author_facet Verma, Priyanka
Unnikrishnan, Balagopal
contents Fair resource division algorithms, like those implemented in Spliddit platform, have traditionally been considered difficult for the end users to manipulate due to its complexities. This paper demonstrates how Large Language Models (LLMs) can dismantle these protective barriers by democratizing access to strategic expertise. Through empirical analysis of rent division scenarios on Spliddit algorithms, we show that users can obtain actionable manipulation strategies via simple conversational queries to AI assistants. We present four distinct manipulation scenarios: exclusionary collusion where majorities exploit minorities, defensive counterstrategies that backfire, benevolent subsidization of specific participants, and cost minimization coalitions. Our experiments reveal that LLMs can explain algorithmic mechanics, identify profitable deviations, and generate specific numerical inputs for coordinated preference misreporting--capabilities previously requiring deep technical knowledge. These findings extend algorithmic collective action theory from classification contexts to resource allocation scenarios, where coordinated preference manipulation replaces feature manipulation. The implications reach beyond rent division to any domain using algorithmic fairness mechanisms for resource division. While AI-enabled manipulation poses risks to system integrity, it also creates opportunities for preferential treatment of equity deserving groups. We argue that effective responses must combine algorithmic robustness, participatory design, and equitable access to AI capabilities, acknowledging that strategic sophistication is no longer a scarce resource.
format Preprint
id arxiv_https___arxiv_org_abs_2511_14722
institution arXiv
publishDate 2025
record_format arxiv
spellingShingle When AI Democratizes Exploitation: LLM-Assisted Strategic Manipulation of Fair Division Algorithms
Verma, Priyanka
Unnikrishnan, Balagopal
Computers and Society
General Economics
Economics
K.4.2
Fair resource division algorithms, like those implemented in Spliddit platform, have traditionally been considered difficult for the end users to manipulate due to its complexities. This paper demonstrates how Large Language Models (LLMs) can dismantle these protective barriers by democratizing access to strategic expertise. Through empirical analysis of rent division scenarios on Spliddit algorithms, we show that users can obtain actionable manipulation strategies via simple conversational queries to AI assistants. We present four distinct manipulation scenarios: exclusionary collusion where majorities exploit minorities, defensive counterstrategies that backfire, benevolent subsidization of specific participants, and cost minimization coalitions. Our experiments reveal that LLMs can explain algorithmic mechanics, identify profitable deviations, and generate specific numerical inputs for coordinated preference misreporting--capabilities previously requiring deep technical knowledge. These findings extend algorithmic collective action theory from classification contexts to resource allocation scenarios, where coordinated preference manipulation replaces feature manipulation. The implications reach beyond rent division to any domain using algorithmic fairness mechanisms for resource division. While AI-enabled manipulation poses risks to system integrity, it also creates opportunities for preferential treatment of equity deserving groups. We argue that effective responses must combine algorithmic robustness, participatory design, and equitable access to AI capabilities, acknowledging that strategic sophistication is no longer a scarce resource.
title When AI Democratizes Exploitation: LLM-Assisted Strategic Manipulation of Fair Division Algorithms
topic Computers and Society
General Economics
Economics
K.4.2
url https://arxiv.org/abs/2511.14722