# Agent Bazaar: Enabling Economic Alignment in Multi-Agent Marketplaces

arXiv: https://arxiv.org/abs/2605.17698 · HTML: https://mlsanity.com/paper/2605.17698/

## Key facts

- Cited by 2 papers in the map (data through 14 Oct 2026).
- Placed in Financial trading and forecasting agents, one of 16 directions in LLM agents and tool use.
- Builds on 10 of its 27 references that are in the map.
- First posted on arXiv 17 May 2026.

## Placed in

- LLM agents and tool use / [Financial trading and forecasting agents](https://mlsanity.com/agents/financial-trading-and-forecasting-agents/)

## Builds on (most cited first, 10 of 10)

- [Training language models to follow instructions with human feedback](https://mlsanity.com/paper/2203.02155/) (2022)
- [Constitutional AI: Harmlessness from AI Feedback](https://mlsanity.com/paper/2212.08073/) (2022)
- [WebArena: A Realistic Web Environment for Building Autonomous Agents](https://mlsanity.com/paper/2307.13854/) (2023)
- [MetaGPT: Meta Programming for A Multi-Agent Collaborative Framework](https://mlsanity.com/paper/2308.00352/) (2023)
- [AgentBench: Evaluating LLMs as Agents](https://mlsanity.com/paper/2308.03688/) (2023)
- [EconAgent: Large Language Model-Empowered Agents for Simulating Macroeconomic Activities](https://mlsanity.com/paper/2310.10436/) (2023)
- [A Multimodal Foundation Agent for Financial Trading: Tool-Augmented, Diversified, and Generalist](https://mlsanity.com/paper/2402.18485/) (2024)
- [Vending-Bench: A Benchmark for Long-Term Coherence of Autonomous Agents](https://mlsanity.com/paper/2502.15840/) (2025)
- [QuantAgent: Seeking Holy Grail in Trading by Self-Improving Large Language Model](https://mlsanity.com/paper/2402.03755/) (2024)
- [LLM Economist: Large Population Models and Mechanism Design in Multi-Agent Generative Simulacra](https://mlsanity.com/paper/2507.15815/) (2025)

## Built on by (most cited first, 2 of 2)

- [LEGIT: Credentialing Protocol for Trustworthy AI Agent Marketplaces](https://mlsanity.com/paper/2609.21325/) (2026)
- [Who Keeps the Gains from Personal AI Assistants? Seller Adaptation and the Unassisted in a Language-Model Market Simulation](https://mlsanity.com/paper/2610.05823/) (2026)

## Abstract (arXiv)

The deployment of Large Language Models (LLMs) as autonomous economic agents introduces systemic risks that extend beyond individual capability failures. As agents transition to directly interacting with marketplaces, their collective behavior can amplify volatility and mask deception at scale. We introduce the Agent Bazaar, a multi-agent simulation framework for evaluating Economic Alignment, the capacity of agentic systems to preserve market stability and integrity. We identify two failure modes: (1) Algorithmic Instability in a B2C market ("The Crash"), where firms amplify price volatility until the market collapses, and (2) Sybil Deception in a C2C market ("The Lemon Market"), where a single deceptive agent controlling multiple coordinated seller identities floods the market with fraudulent listings, eroding trust and consumer welfare. We evaluate frontier and open-weight models across both scenarios and find that models largely fail to self-regulate, with failure severity varying by model rather than by size. We propose economically aligned harnesses, Stabilizing Firms and Skeptical Guardians, that improve outcomes but remain fragile under harder market conditions. To close this gap, we train agents with REINFORCE++ using an adaptive curriculum, producing a 9B model that outperforms all evaluated frontier and open-weight models. We propose the Economic Alignment Score (EAS), a 4-component scalar metric aggregating stability, integrity, welfare, and profitability, enabling direct cross-model comparison. Our results show that economic alignment is orthogonal to general capability and can be directly trained with targeted RL.