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Automating Automaticity: How the Context of Human Choice Affects the Extent of Algorithmic Bias

Author

Listed:
  • Amanda Y. Agan
  • Diag Davenport
  • Jens Ludwig
  • Sendhil Mullainathan

Abstract

Consumer choices are increasingly mediated by algorithms, which use data on those past choices to infer consumer preferences and then curate future choice sets. Behavioral economics suggests one reason these algorithms so often fail: choices can systematically deviate from preferences. For example, research shows that prejudice can arise not just from preferences and beliefs, but also from the context in which people choose. When people behave automatically, biases creep in; snap decisions are typically more prejudiced than slow, deliberate ones, and can lead to behaviors that users themselves do not consciously want or intend. As a result, algorithms trained on automatic behaviors can misunderstand the prejudice of users: the more automatic the behavior, the greater the error. We empirically test these ideas in a lab experiment, and find that more automatic behavior does indeed seem to lead to more biased algorithms. We then explore the large-scale consequences of this idea by carrying out algorithmic audits of Facebook in its two biggest markets, the US and India, focusing on two algorithms that differ in how users engage with them: News Feed (people interact with friends' posts fairly automatically) and People You May Know (people choose friends fairly deliberately). We find significant out-group bias in the News Feed algorithm (e.g., whites are less likely to be shown Black friends' posts, and Muslims less likely to be shown Hindu friends' posts), but no detectable bias in the PYMK algorithm. Together, these results suggest a need to rethink how large-scale algorithms use data on human behavior, especially in online contexts where so much of the measured behavior might be quite automatic.

Suggested Citation

  • Amanda Y. Agan & Diag Davenport & Jens Ludwig & Sendhil Mullainathan, 2023. "Automating Automaticity: How the Context of Human Choice Affects the Extent of Algorithmic Bias," NBER Working Papers 30981, National Bureau of Economic Research, Inc.
  • Handle: RePEc:nbr:nberwo:30981
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    Cited by:

    1. Guy Aridor & Rafael Jiménez-Durán & Ro'ee Levy & Lena Song, 2024. "The Economics of Social Media," CESifo Working Paper Series 10934, CESifo.
    2. Zanoni, Wladimir & Duryea, Suzanne & Paredes, Jorge, 2024. "Exploring Gender Discrimination: A Multi-Trial Field Experiment in Urban Ecuador," IDB Publications (Working Papers) 13705, Inter-American Development Bank.
    3. E. Jason Baron & Joseph J. Doyle Jr. & Natalia Emanuel & Peter Hull & Joseph Ryan, 2024. "Unwarranted Disparity in High-Stakes Decisions: Race Measurement and Policy Responses," NBER Chapters, in: Race, Ethnicity, and Economic Statistics for the 21st Century, National Bureau of Economic Research, Inc.
    4. Patrick Kline & Evan K. Rose & Christopher R. Walters, 2024. "A Discrimination Report Card," American Economic Review, American Economic Association, vol. 114(8), pages 2472-2525, August.
    5. Mallory Avery & Andreas Leibbrandt & Joseph Vecci, 2023. "Does Artificial Intelligence Help or Hurt Gender Diversity? Evidence from Two Field Experiments on Recruitment in Tech," Monash Economics Working Papers 2023-09, Monash University, Department of Economics.

    More about this item

    JEL classification:

    • A12 - General Economics and Teaching - - General Economics - - - Relation of Economics to Other Disciplines
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness

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