PrivacySIM: Evaluating LLM Simulation of User Privacy Behavior

Large language models (LLMs) are rapidly being adopted for tasks like drafting emails, summarizing meetings, and answering health questions. In these settings, users may need to share private information (e.g., contact details, health records). To evaluate LLMs' ability to identify and redact such information, prior work introduced real-life, scenario-based benchmarks (e.g., ConfAIde, PrivacyLens) and found that LLMs can leak private information in complex scenarios. However, these evaluations relied on proxy LLMs to judge the helpfulness and privacy-preservation quality of LLM responses, rather than directly measuring users' perceptions. To understand how users perceive the helpfulness and privacy-preservation quality of LLM responses to privacy-sensitive scenarios, we conducted a user study ($n=94$) using 90 PrivacyLens scenarios. We found that users had low agreement with each other when evaluating identical LLM responses. In contrast, five proxy LLMs reached high agreement, yet each proxy LLM had low correlation with users' evaluations. These results indicate that proxy LLMs cannot accurately estimate users' wide range of perceptions of utility and privacy in privacy-sensitive scenarios. We discuss the need for more user-centered studies to measure LLMs' ability to help users while preserving privacy, and for improving alignment between LLMs and users in estimating perceived privacy and utility.

Large Language Model (LLM) agents are increasingly deployed in settings where they interact with a wide variety of people, including users who are unclear, impatient, or reluctant to share information. However, collecting real interaction data at scale remains expensive. The field has turned to LLM-based user simulators as stand-ins, but these simulators inherit the behavior of their underlying models: cooperative and homogeneous. As a result, agents that appear strong in simulation often fail under the unseen, diverse communication patterns of real users. To narrow this gap, we introduce Persona Policies (PPol), a plug-and-play control layer that induces realistic behavioral variation in user simulators while preserving the original task goals. Rather than hand-crafting personas, we cast persona generation as an LLM-driven evolutionary program search that optimizes a Python generator to discover behaviors and translate them into task-preserving roleplay policies. Candidate generators are guided by a multi-objective fitness score combining human-likeness with broad coverage of human behavioral patterns. Once optimized, the generator produces a diverse population of human-like personas for any task in the domain. Across tau^2-bench retail and airline domains, evolved PPol programs yield 33-62% absolute gains in fitness score over the baseline simulator. In a blinded evaluation, annotators rated PPol-conditioned users as human 80.4% of the time, close to real human traces and nearly twice as frequently as baseline simulators. Agents trained with PPol are more robust to challenging, out-of-distribution behaviors, improving task success by +17% relative to training only on existing simulated interactions. This offers a novel approach to strengthen simulator-based evaluation and training without changing tasks or rewards.

Large language models (LLMs) are increasingly used to simulate human populations via persona prompting, often under the assumptions that richer persona descriptions improve behavioral fidelity, similarly sized attribute combinations are equally simulatable, and persona definitions generalize across tasks. In this work, we formalize these assumptions and systematically evaluate them across multiple architectures, scales, and simulation settings. We identify a fundamental limitation we term persona manifold collapse, where increasingly expressive persona specifications lead to systematic contraction of representational and behavioral diversity. Across models, increasing persona complexity consistently reduces inter-persona separation in latent space and weakens behavioral differentiation in downstream simulation tasks. These effects persist across multiple analyses as richer personas fail to preserve human subgroup disagreement, performance varies across attribute combinations of similar size, and adding descriptive detail often degrades rather than improves simulation fidelity. Surprisingly, simple Age-Gender personas consistently outperform richly specified Ideal Customer Profiles (ICPs) across industries, achieving substantially higher downstream prediction accuracy. We find that collapse is not uniform across attributes. Certain combinations remain behaviorally stable and preserve stronger alignment with human responses, forming localized regions we term alignment bridges. Together, our results provide empirical and conceptual foundations for understanding the limits of persona-conditioned simulation, highlighting the need for representation-aware persona construction rather than increasing persona expressivity alone.