AIETMAJan 20

TruthTensor: Evaluating LLMs Human Imitation through Prediction Market Drift and Holistic Reasoning

arXiv:2601.13545v11 citationsh-index: 14
Originality Highly original
AI Analysis

This addresses the problem of inadequate static benchmarks for AI researchers and practitioners by providing a more holistic and reproducible evaluation framework, though it is incremental in building on existing evaluation practices.

The paper tackles the challenge of evaluating LLMs in real-world, uncertain environments by introducing TruthTensor, a novel evaluation paradigm that measures models as human-imitation systems using live prediction markets, showing that models with similar forecast accuracy can diverge in calibration, drift, and risk-sensitivity across 500+ markets.

Evaluating language models and AI agents remains fundamentally challenging because static benchmarks fail to capture real-world uncertainty, distribution shift, and the gap between isolated task accuracy and human-aligned decision-making under evolving conditions. This paper introduces TruthTensor, a novel, reproducible evaluation paradigm that measures Large Language Models (LLMs) not only as prediction engines but as human-imitation systems operating in socially-grounded, high-entropy environments. Building on forward-looking, contamination-free tasks, our framework anchors evaluation to live prediction markets and combines probabilistic scoring to provide a holistic view of model behavior. TruthTensor complements traditional correctness metrics with drift-centric diagnostics and explicit robustness checks for reproducibility. It specify human vs. automated evaluation roles, annotation protocols, and statistical testing procedures to ensure interpretability and replicability of results. In experiments across 500+ real markets (political, economic, cultural, technological), TruthTensor demonstrates that models with similar forecast accuracy can diverge markedly in calibration, drift, and risk-sensitivity, underscoring the need to evaluate models along multiple axes (accuracy, calibration, narrative stability, cost, and resource efficiency). TruthTensor therefore operationalizes modern evaluation best practices, clear hypothesis framing, careful metric selection, transparent compute/cost reporting, human-in-the-loop validation, and open, versioned evaluation contracts, to produce defensible assessments of LLMs in real-world decision contexts. We publicly release TruthTensor at https://truthtensor.com

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