IDEAS home Printed from https://ideas.repec.org/p/arx/papers/2608.04432.html

The Price of Isolation: Estimating the Ecosystem Cost of Symmetric Two-Sided A/B Testing

Author

Listed:
  • Yuanyuan Shen
  • Yiren Yan
  • Wenjie Li
  • Chunhui Zhu

Abstract

On two-sided content platforms, symmetric two-sided isolation (assigning matched fractions of creators and viewers to isolated treatment and control submarkets) is widely used for creator-side and cold-start experiments because it removes cross-arm marketplace interference. Isolation, however, thins each viewer's candidate catalog, and intuition suggests the resulting engagement cost should fade as the platform grows: a small fraction of a vast catalog is still vast. We show that, in an order-statistics model of engagement, whether this intuition holds depends on the upper tail of match quality. Extreme-value theory yields tail-class loss laws with a sharp dichotomy: for light or bounded tails the loss vanishes as the candidate pool grows, whereas under heavy tails it converges to a size-independent constant, so expanding the candidate pool, even by orders of magnitude, does not asymptotically eliminate the cost. Evidence from two production experiments on a platform with millions of active creators is consistent with this picture: a pure A/A traffic sweep reveals a measurable, depth-graded engagement cost; a one-sided catalog ablation independently shows that per-viewer thinning contributes to the loss; and a tail index calibrated on the small exploration pool predicts an effect consistent with the one observed in the far larger full-catalog ablation. Isolation thus carries a price that experimenters should budget for, like any other cost. We give practitioners a preflight procedure that estimates it before launch, sizes traffic accordingly, and recommends a fallback design when the predicted cost exceeds a chosen tolerance.

Suggested Citation

  • Yuanyuan Shen & Yiren Yan & Wenjie Li & Chunhui Zhu, 2026. "The Price of Isolation: Estimating the Ecosystem Cost of Symmetric Two-Sided A/B Testing," Papers 2608.04432, arXiv.org.
  • Handle: RePEc:arx:papers:2608.04432
    as

    Download full text from publisher

    File URL: https://arxiv.org/pdf/2608.04432
    File Function: Latest version
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Iavor Bojinov & David Simchi-Levi & Jinglong Zhao, 2023. "Design and Analysis of Switchback Experiments," Management Science, INFORMS, vol. 69(7), pages 3759-3777, July.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Dmitry Arkhangelsky & Guido W. Imbens & Lihua Lei & Xiaoman Luo, 2024. "Design‐robust two‐way‐fixed‐effects regression for panel data," Quantitative Economics, Econometric Society, vol. 15(4), pages 999-1034, November.
    2. Zikun Ye & Zhiqi Zhang & Dennis J. Zhang & Heng Zhang & Renyu Zhang, 2026. "Deep Learning-Based Causal Inference for Large-Scale Combinatorial Experiments: Theory and Empirical Evidence," Management Science, INFORMS, vol. 72(7), pages 5611-5634, July.
    3. Yuhang Wu & Zeyu Zheng & Guangyu Zhang & Zuohua Zhang & Chu Wang, 2025. "Nonstationary A/B Tests: Optimal Variance Reduction, Bias Correction, and Valid Inference," Management Science, INFORMS, vol. 71(6), pages 4707-4727, June.
    4. Jinglong Zhao, 2024. "Experimental Design For Causal Inference Through An Optimization Lens," Papers 2408.09607, arXiv.org, revised Aug 2024.
    5. Zhexiao Lin & Peng Ding, 2025. "Unifying regression-based and design-based causal inference in time-series experiments," Papers 2510.22864, arXiv.org.
    6. Xinbing Kong & Zeyu Li & Junfan Mao & Bin Wu, 2026. "Conditional Tensor Diffusion: Distributional Counterfactual Learning and Inference," Papers 2609.25924, arXiv.org.
    7. Shuze Chen & David Simchi-Levi & Chonghuan Wang, 2024. "Improving the Estimation of Lifetime Effects in A/B Testing via Treatment Locality," Papers 2407.19618, arXiv.org, revised Sep 2025.
    8. Michael Thomas & Marcel Goic & Kirthi Kalyanam, 2025. "Long Lags and Large Returns: Experimental Evidence from Advertising to Businesses," Management Science, INFORMS, vol. 71(10), pages 8750-8766, October.
    9. Ozan Candogan & Chen Chen & Rad Niazadeh, 2024. "Correlated Cluster-Based Randomized Experiments: Robust Variance Minimization," Management Science, INFORMS, vol. 70(6), pages 4069-4086, June.
    10. Jizhou Liu & Liang Zhong, 2026. "Randomization Tests in Switchback Experiments," Papers 2602.23257, arXiv.org, revised Sep 2026.
    11. Sadegh Shirani & Mohsen Bayati, 2025. "On Evolution-Based Models for Experimentation Under Interference," Papers 2511.21675, arXiv.org.
    12. Xinqi Chen & Xingyu Bai & Zeyu Zheng & Nian Si, 2025. "Experimental Designs for Multi-Item Multi-Period Inventory Control," Papers 2501.11996, arXiv.org, revised Jul 2026.
    13. Alejandro Rodriguez Dominguez & Miquel Noguer i Alonso, 2026. "Robustness or Crowding: Experimental Design for Trading Strategy Capacity," Papers 2608.08405, arXiv.org.
    14. Chonghuan Wang, 2026. "Experimental Design for Matching," Papers 2601.21036, arXiv.org.
    15. Hongyu Chen & David Simchi-Levi, 2026. "Efficient Switchback Experiments with Surrogate Variables: Estimation and Experimental Design," Management Science, INFORMS, vol. 72(6), pages 4854-4870, June.
    16. Shan Huang & Chen Wang & Yuan Yuan & Jinglong Zhao & Brocco & Zhang, 2023. "Estimating Effects of Long-Term Treatments," Papers 2308.08152, arXiv.org, revised Dec 2025.
    17. Jinglong Zhao, 2023. "Adaptive Neyman Allocation," Papers 2309.08808, arXiv.org, revised Jan 2026.
    18. Yuchen Hu, 2026. "Spectral Design of Random-Duration Switchbacks," Papers 2609.13698, arXiv.org.
    19. Zhiqi Zhang & Zhiyu Zeng & Ruohan Zhan & Dennis Zhang, 2026. "Personalized Policy Learning through Discrete Experimentation: Theory and Empirical Evidence," Papers 2602.05099, arXiv.org.
    20. repec:ehl:lserod:138897 is not listed on IDEAS
    21. Ruohan Zhan & Shichao Han & Yuchen Hu & Zhenling Jiang, 2024. "Estimating Treatment Effects under Algorithmic Interference: A Structured Neural Networks Approach," Papers 2406.14380, arXiv.org, revised Mar 2026.

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:arx:papers:2608.04432. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: arXiv administrators (email available below). General contact details of provider: https://arxiv.org/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.