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This paper introduces a framework for capturing stochasticity of choice probabilities in neural networks, derived from and fully consistent with the Random Utility Maximization (RUM) theory, referred to as RUM-NN. Neural network models show…

Econometrics · Economics 2025-01-10 Niousha Bagheri , Milad Ghasri , Michael Barlow

The Random Utility Model (RUM) is the leading model to represent the aggregate choices of a heterogeneous population of preference maximizers. We show that if (and only if) preferences are sufficiently uncorrelated, RUM choices can also be…

Theoretical Economics · Economics 2025-05-29 Daniele Caliari , Henrik Petri

This paper introduces the RUMBoost model, a novel discrete choice modelling approach that combines the interpretability and behavioural robustness of Random Utility Models (RUMs) with the generalisation and predictive ability of deep…

Machine Learning · Computer Science 2024-11-19 Nicolas Salvadé , Tim Hillel

The random utility model (RUM, McFadden and Richter, 1990) has been the standard tool to describe the behavior of a population of decision makers. RUM assumes that decision makers behave as if they maximize a rational preference over a…

General Economics · Economics 2022-07-05 Victor H. Aguiar , Maria Jose Boccardi , Nail Kashaev , Jeongbin Kim

Random utility maximisation (RUM) models are one of the cornerstones of discrete choice modelling. However, specifying the utility function of RUM models is not straightforward and has a considerable impact on the resulting interpretable…

Machine Learning · Statistics 2024-04-23 Jose Ignacio Hernandez , Niek Mouter , Sander van Cranenburgh

This paper examines the Random Utility Model (RUM) in repeated stochastic choice settings where decision-makers lack full information about payoffs. We propose a gradient-based learning algorithm that embeds RUM into an online…

Theoretical Economics · Economics 2025-06-23 Emerson Melo

This paper studies the Random Utility Model (RUM) in a repeated stochastic choice situation, in which the decision maker is imperfectly informed about the payoffs of each available alternative. We develop a gradient-based learning algorithm…

Theoretical Economics · Economics 2022-08-16 Emerson Melo

Random Utility Models (RUMs), which subsume Plackett-Luce model (PL) as a special case, are among the most popular models for preference learning. In this paper, we consider RUMs with features and their mixtures, where each alternative has…

Machine Learning · Computer Science 2022-05-04 Zhibing Zhao , Ao Liu , Lirong Xia

We explore the influence of framing on decision-making, where some products are framed (e.g., displayed, recommended, endorsed, or labeled). We introduce a novel choice function that captures observed variations in framed alternatives.…

Theoretical Economics · Economics 2025-02-04 Paul H. Y. Cheung , Yusufcan Masatlioglu

Regression neural networks (NNs) are most commonly trained by minimizing the mean squared prediction error, which is highly sensitive to outliers and data contamination. Existing robust training methods for regression NNs are often limited…

Machine Learning · Statistics 2026-02-10 Abhik Ghosh , Suryasis Jana

Heterogeneous network data with rich nodal information become increasingly prevalent across multidisciplinary research, yet accurately modeling complex nodal heterogeneity and simultaneously selecting influential nodal attributes remains an…

Methodology · Statistics 2026-04-14 Zhaoyu Xing , Xiufan Yu

Discrete-choice models are a powerful framework for analyzing decision-making behavior to provide valuable insights for policymakers and businesses. Multinomial logit models (MNLs) with linear utility functions have been used in practice…

Artificial Intelligence · Computer Science 2024-10-22 Tomoki Nishi , Yusuke Hara

This paper discusses {General Random Utility Models (GRUMs)}. These are a class of parametric models that generate partial ranks over alternatives given attributes of agents and alternatives. We propose two preference elicitation scheme for…

Artificial Intelligence · Computer Science 2013-09-27 Hossein Azari Soufiani , David C. Parkes , Lirong Xia

In comparison to classical shallow representation learning techniques, deep neural networks have achieved superior performance in nearly every application benchmark. But despite their clear empirical advantages, it is still not well…

Machine Learning · Computer Science 2022-01-11 Calvin Murdock , George Cazenavette , Simon Lucey

Discrete-choice models are used in economics, marketing and revenue management to predict customer purchase probabilities, say as a function of prices and other features of the offered assortment. While they have been shown to be…

Artificial Intelligence · Computer Science 2023-08-11 Hanzhao Wang , Zhongze Cai , Xiaocheng Li , Kalyan Talluri

Recurrent Neural Networks (RNNs) have achieved remarkable performance on a range of tasks. A key step to further empowering RNN-based approaches is improving their explainability and interpretability. In this work we present MEME: a model…

Machine Learning · Computer Science 2021-04-15 Dmitry Kazhdan , Botty Dimanov , Mateja Jamnik , Pietro Liò

In this work we consider the problem of fitting Random Utility Models (RUMs) to user choices. Given the winner distributions of the subsets of size $k$ of a universe, we obtain a polynomial-time algorithm that finds the RUM that best…

Machine Learning · Computer Science 2023-05-23 Flavio Chierichetti , Mirko Giacchini , Ravi Kumar , Alessandro Panconesi , Andrew Tomkins

We develop a probabilistic framework for deep learning based on the Deep Rendering Mixture Model (DRMM), a new generative probabilistic model that explicitly capture variations in data due to latent task nuisance variables. We demonstrate…

Machine Learning · Statistics 2016-12-07 Ankit B. Patel , Tan Nguyen , Richard G. Baraniuk

While it is widely known that neural networks are universal approximators of continuous functions, a less known and perhaps more powerful result is that a neural network with a single hidden layer can approximate accurately any nonlinear…

Machine Learning · Computer Science 2021-11-03 Lu Lu , Pengzhan Jin , George Em Karniadakis

With the rapid development of Deep Learning, more and more applications on the cloud and edge tend to utilize large DNN (Deep Neural Network) models for improved task execution efficiency as well as decision-making quality. Due to memory…

Machine Learning · Computer Science 2024-07-02 Jingran Shen , Nikos Tziritas , Georgios Theodoropoulos
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