AI RESEARCH

Market-Alignment Risk in Pricing Agents: Trace Diagnostics and Trace-Prior RL under Hidden Competitor State

arXiv CS.LG

ArXi:2605.06529v1 Announce Type: cross Outcome metrics can certify the wrong behavior. We study this failure in a two-hotel revenue-management simulator where Hotel A trains an agent against a fixed rule-based revenue-management competitor, Hotel B. A standard learning agent can obtain near-reference revenue per available room (RevPAR) while failing to learn market-like yield management: it sells too aggressively, undercuts, or collapses to modal price buckets. We diagnose this as a Goodhart-style failure under partial observability.