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Related papers: The Forecast Trap

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Selective Prediction is the task of rejecting inputs a model would predict incorrectly on. This involves a trade-off between input space coverage (how many data points are accepted) and model utility (how good is the performance on accepted…

Selective prediction [Dru13, QV19] models the scenario where a forecaster freely decides on the prediction window that their forecast spans. Many data statistics can be predicted to a non-trivial error rate without any distributional…

Machine Learning · Computer Science 2025-08-14 Licheng Liu , Mingda Qiao

To improve the trustworthiness of an AI model, finding consistent, understandable representations of its inference process is essential. This understanding is particularly important in high-stakes operations such as weather forecasting,…

Artificial Intelligence · Computer Science 2025-04-02 Soyeon Kim , Junho Choi , Subeen Lee , Jaesik Choi

We consider the problem of constructing probabilistic predictions that lead to accurate decisions when employed by downstream users to inform actions. For a single decision maker, designing an optimal predictor is equivalent to minimizing a…

Machine Learning · Computer Science 2025-10-15 Isaac Gibbs , Ryan J. Tibshirani

Robust optimization methods have shown practical advantages in a wide range of decision-making applications under uncertainty. Recently, their efficacy has been extended to multi-period settings. Current approaches model uncertainty either…

Optimization and Control · Mathematics 2022-02-23 Omid Nohadani , Kartikey Sharma

Our decision-making processes are becoming more data driven, based on data from multiple sources, of different types, processed by a variety of technologies. As technology becomes more relevant for decision processes, the more likely they…

Computers and Society · Computer Science 2018-01-01 Tomasz Ostwald

Poor economies not only produce less; they typically produce things that involve fewer inputs and fewer intermediate steps. Yet the supply chains of poor countries face more frequent disruptions---delivery failures, faulty parts, delays,…

General Finance · Quantitative Finance 2017-09-05 Charles D. Brummitt , Kenan Huremovic , Paolo Pin , Matthew H. Bonds , Fernando Vega-Redondo

The discrepancy between realized volatility and the market's view of volatility has been known to predict individual equity options at the monthly horizon. It is not clear how this predictability depends on a forecast's ability to predict…

Statistical Finance · Quantitative Finance 2025-06-10 Austin Pollok

As artificial intelligence and machine learning tools become more accessible, and scientists face new obstacles to data collection (e.g. rising costs, declining survey response rates), researchers increasingly use predictions from…

Methodology · Statistics 2024-02-06 Kentaro Hoffman , Stephen Salerno , Awan Afiaz , Jeffrey T. Leek , Tyler H. McCormick

Stocks can't be predicted. Despite many hopes, this premise held itself true for many years due to the nature of quantitative stock data lacking causal logic along with rapid market changes hindering accumulation of significant data for…

Machine Learning · Computer Science 2025-12-16 Olivia Kim

Randomness in scientific estimation is generally assumed to arise from unmeasured or uncontrolled factors. However, when combining subjective probability estimates, heterogeneity stemming from people's cognitive or information diversity is…

Methodology · Statistics 2015-05-28 Ville Satopää , Robin Pemantle , Lyle Ungar

Safely deploying machine learning models to the real world is often a challenging process. Models trained with data obtained from a specific geographic location tend to fail when queried with data obtained elsewhere, agents trained in a…

Machine Learning · Computer Science 2021-11-02 Marco Federici , Ryota Tomioka , Patrick Forré

In a prediction tournament, contestants "forecast" by asserting a numerical probability for each of (say) 100 future real-world events. The scoring system is designed so that (regardless of the unknown true probabilities) more accurate…

Statistics Theory · Mathematics 2019-03-07 David Aldous

The problem of detecting the presence of a signal that can lead to a disaster is studied. A decision-maker collects data sequentially over time. At some point in time, called the change point, the distribution of data changes. This change…

Signal Processing · Electrical Eng. & Systems 2023-03-07 Tim Brucks , Taposh Banerjee , Rahul Mishra

Using a dynamical model to make predictions about a system has many sources of error. These can include errors in how the model was initialised but also errors in the dynamics of the model itself. For many applications in data assimilation,…

Numerical Analysis · Mathematics 2025-07-07 P. A. Browne

The modeling of complex systems such as ecological or socio-economic systems can be very challenging. Although various modeling approaches exist, they are generally not compatible and mutually consistent, and empirical data often do not…

Physics and Society · Physics 2010-07-19 Dirk Helbing

Meteorological forecasting provides reliable prediction about the future weather within a given interval of time. Meteorological forecasting can be viewed as a form of hybrid diagnostic reasoning and can be mapped onto an integrated…

Artificial Intelligence · Computer Science 2019-02-11 Matteo Cristani , Francesco Domenichini , Claudio Tomazzoli , Luca Viganò , Margherita Zorzi

A major challenge in data-driven decision-making is accurate policy evaluation-i.e., guaranteeing that a learned decision-making policy achieves the promised benefits. A popular strategy is model-based policy evaluation, which estimates a…

Machine Learning · Statistics 2026-02-10 Hamsa Bastani , Osbert Bastani , Bryce McLaughlin

Complex numerical weather prediction models incorporate a variety of physical processes, each described by multiple alternative physical schemes with specific parameters. The selection of the physical schemes and the choice of the…

Numerical Analysis · Computer Science 2018-02-23 Azam Moosavi , Vishwas Rao , Adrian Sandu

Conformal prediction is a statistically rigorous method for quantifying uncertainty in models by having them output sets of predictions, with larger sets indicating more uncertainty. However, prediction sets are not inherently actionable;…

Machine Learning · Computer Science 2025-02-17 Jesse C. Cresswell , Bhargava Kumar , Yi Sui , Mouloud Belbahri