More at Stake: How Payoff and Language Shape LLM Agent Strategies in Cooperation Dilemmas

Abstract: As LLMs increasingly act as autonomous agents in interactive and multi-agent settings, understanding their strategic behavior is critical for safety, coordination, and AI-driven social and economic systems. We investigate how payoff magnitude and linguistic context shape LLM strategies in repeated social dilemmas, using a payoff-scaled Prisoner's Dilemma to isolate sensitivity to incentive strength. Across models and languages, we observe consistent behavioral patterns, including incentive-sensitive conditional strategies and cross-linguistic divergence. To interpret these dynamics, we train supervised classifiers on canonical repeated-game strategies and apply them to LLM decisions, revealing systematic, model- and language-dependent behavioral intentions, with linguistic framing sometimes matching or exceeding architectural effects. Our results provide a unified framework for auditing LLMs as strategic agents and highlight cooperation biases with direct implications for AI governance and multi-agent system design.