Related papers: Qini-based Uplift Regression
Consumer protection rules require companies that deploy models to automate decisions in high-stakes settings to explain predictions to decision subjects. These rules are motivated, in part, by the belief that explanations can promote…
This paper introduces an approach to reference class selection in distributional forecasting with an application to corporate sales growth rates using several co-variates as reference variables, that are implicit predictors. The method can…
Promotions and discounts are essential components of modern e-commerce platforms, where they are often used to incentivize customers towards purchase completion. Promotions also affect revenue and may incur a monetary loss that is often…
Customer loyalty is crucial for internet services since retaining users of a service to ensure the staying time of the service is of significance for increasing revenue. It demands the retention of customers to be high enough to meet the…
Hybrid continuous-discrete models naturally represent many real-world applications in robotics, finance, and environmental engineering. Inference with large-scale models is challenging because relational structures deteriorate rapidly…
The inflated beta regression model is widely used for modeling continuous proportions with values at the boundaries. Maximum likelihood estimation for these models is well-known for its sensitivity to outliers, which can severely distort…
This paper explores the application of a reinforcement learning (RL) framework using the Q-Learning algorithm to enhance dynamic pricing strategies in the retail sector. Unlike traditional pricing methods, which often rely on static demand…
When using LLMs to rank items based on given criteria, or evaluate answers, the order of candidate items can influence the model's final decision. This sensitivity to item positioning in a LLM's prompt is known as position bias. Prior…
Online marketing is critical for many industrial platforms and business applications, aiming to increase user engagement and platform revenue by identifying corresponding delivery-sensitive groups for specific incentives, such as coupons…
The acceleration in the adoption of AI-based automated decision-making systems poses a challenge for evaluating the fairness of algorithmic decisions, especially in the absence of ground truth. When designing interventions, uplift modeling…
The goal of robust reinforcement learning (RL) is to learn a policy that is robust against the uncertainty in model parameters. Parameter uncertainty commonly occurs in many real-world RL applications due to simulator modeling errors,…
In this work, we consider the problem of imbalanced data in a regression framework when the imbalanced phenomenon concerns continuous or discrete covariates. Such a situation can lead to biases in the estimates. In this case, we propose a…
Underwriting is one of the important stages in an insurance company. The insurance company uses different factors to classify the policyholders. In this study, we apply several machine learning models such as nearest neighbour and logistic…
The Gini score is a popular tool in statistical modeling and machine learning for model validation and model selection. It is a purely rank based score that allows one to assess risk rankings. The Gini score for statistical modeling has…
Covariate imbalance between treatment groups makes it difficult to compare cumulative incidence curves in competing risk analyses. In this paper we discuss different methods to estimate adjusted cumulative incidence curves including inverse…
We apply Reinforcement Learning algorithms to solve the classic quantitative finance Market Making problem, in which an agent provides liquidity to the market by placing buy and sell orders while maximizing a utility function. The optimal…
It becomes a significant challenge to predict customer behavior and retain an existing customer with the rapid growth of digitization which opens up more opportunities for customers to choose from subscription-based products and services…
Uncertainty quantification (UQ) has emerged as a promising approach for detecting hallucinations and low-quality output of Large Language Models (LLMs). However, obtaining proper uncertainty scores is complicated by the conditional…
A retention strategy based on an enlightened lapse model is a powerful profitabilitylever for a life insurer. Some machine learning models are excellent at predicting lapse,but from the insurer's perspective, predicting which policyholder…
Reinforcement Learning has suffered from poor reward specification, and issues for reward hacking even in simple enough domains. Preference Based Reinforcement Learning attempts to solve the issue by utilizing binary feedbacks on queried…