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The Good, the Bad, and the Ugly: The Role of AI Quality Disclosure in Deception Detection

Author

Listed:
  • Bhattacharya, Haimanti
  • Dugar, Subhasish
  • Hazra, Sanchaita
  • Majumder, Bodhisattwa Prasad

Abstract

We investigate how low-quality AI advisors, lacking quality disclosures, can help spread text-based deception while seeming to help people detect deception. Participants in our experiment discern truth from deceitful material by evaluating transcripts from a game show that mimicked deceptive social media exchanges on topics with objective truths. We find that when relying on low-quality advisors without disclosures, participants’ truth-detection rates fall below their own abilities, which recovered once the AI’s true effectiveness was revealed. Conversely, high-quality advisor enhances deception detection, regardless of disclosure. We discover that participants’ expectations about AI capabilities contribute to their undue reliance on opaque, low-quality advisors.

Suggested Citation

  • Bhattacharya, Haimanti & Dugar, Subhasish & Hazra, Sanchaita & Majumder, Bodhisattwa Prasad, 2026. "The Good, the Bad, and the Ugly: The Role of AI Quality Disclosure in Deception Detection," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 122(C).
    • Handle: RePEc:eee:soceco:v:122:y:2026:i:c:s2214804326000467
    DOI: 10.1016/j.socec.2026.102555
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    JEL classification:

    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • D80 - Microeconomics - - Information, Knowledge, and Uncertainty - - - General
    • D90 - Microeconomics - - Micro-Based Behavioral Economics - - - General

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