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When RAG Fails to Equalize: Geo-bias in Factual Question Answering over Public Companies

arXiv · AI, language, vision and robotics · article · Aug 26, 2026 · UTC

Retrieval-augmented generation (RAG) is widely assumed to mitigate factual errors in large language models (LLMs), but it remains unclear whether retrieval uniformly compensates for missing knowledge. We study this question in a controlled factual QA setting over public companies, constructing a benchmark of approximately 2,000 firms across global equity indices. We evaluate six LLMs on four atomic attributes under four conditions: no-context, perfect context, misleading context, and distraction context. We find strong geographic disparities in no-context accuracy, indicating uneven parametric

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