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30 results for opacity

A model for human-machine decision-making with private info and opacity.

problem Optimizing decisions in a human-machine system with private info and opacity.
method Formulated as a two-player learning problem, proved lower and upper bounds on optimality.
result Simple coordination strategy is nearly minimax optimal, efficient learning possible under certain assumptions.

Study reveals opacity in insider sales, leading to inefficiencies in capital allocation.

problem Insider sales opacity due to reporting inversion of Form 144 and Form 4.
method Event study framework, machine learning audit, cross-sectional tests.
result Persistent opacity of insider sales signals, leading to inefficiencies in capital allocation.

Research shows eco-innovation boosts earnings management, especially in constrained firms.

problem The impact of eco-innovation on earnings management in firms with financial constraints.
method Multi-method approach including entropy balancing, PSM, and Heckman Test correction.
result Eco-innovation positively correlates with earnings management, especially in firms facing financial constraints.

Trajectory-level supervision allows efficient offline reinforcement learning.

problem Offline reinforcement learning
method Developing a statistical theory for offline policy optimization from trajectory-level labels
result Proving a high-probability guarantee of order O~(H2Csa(π)/n)\widetilde O(H^2\sqrt{C_{sa}(\pi^\star)/n})

Complex black-box predictive models may have high accuracy, but opacity causes problems like lack of trust, lack of stability, sensitivity to concept drift. On the other hand, interpretable models require more work related to feature engineering, which is very time consuming. Can we train interpretable and accurate mod…

2019-02-28abs ↗pdf ↗

Lung segmentation from abnormal CXRs using data imputation.

problem Segmenting lungs from CXRs with high opacity caused by respiratory ailments.
method Modified CNN-based segmentation network with deep generative model for data imputation.
result The model can segment lungs from abnormal CXRs, extending to cases with extreme abnormalities.

The Surprise index assesses autonomous systems' competency in uncertain environments.

problem Evaluating competency of autonomous systems in dynamic, uncertain environments.
method Surprise index, a measure that quantifies system performance based on available data.
result The Surprise index can be computed for dynamic systems with Gaussian marginal distributions.

causalKANs provides interpretable treatment effect estimates using neural networks.

problem The opacity of deep neural networks limits their adoption in sensitive domains.
method Proposes causalKANs, a framework that transforms neural estimators into interpretable closed-form formulas.
result causalKANs performs on par with neural baselines in CATE error metrics and offers a favorable accuracy--interpretability trade-off.

Standard economic theory makes an allowance for the agency problem, but not the compounding of moral hazard in the presence of informational opacity, particularly in what concerns high-impact events in fat tailed domains (under slow convergence for the law of large numbers). Nor did it look at exposure as a filter that…

2013-08-05abs ↗pdf ↗

As financial instruments grow in complexity more and more information is neglected by risk optimization practices. This brings down a curtain of opacity on the origination of risk, that has been one of the main culprits in the 2007-2008 global financial crisis. We discuss how the loss of transparency may be quantified …

2019-01-28abs ↗pdf ↗

Neural networks are among the most accurate supervised learning methods in use today. However, their opacity makes them difficult to trust in critical applications, especially when conditions in training may differ from those in practice. Recent efforts to develop explanations for neural networks and machine learning m…

2018-09-29abs ↗pdf ↗

Study detects and explains positional bias in financial LLMs.

problem Positional bias in financial decision-making using LLMs.
method Unified framework and benchmark for detecting and quantifying bias in Qwen2.5 models.
result Positional bias is pervasive, scale-sensitive, and resurfaces under nuanced prompt designs.

Stablecoin liquidity was affected by the SVB collapse, with USDC's transparency leading to market reactions.

problem Impact of stablecoin transparency on liquidity during market turmoil.
method Adapted MCI measure to Uniswap, Difference-in-Differences analysis on MCI and TVL, measured liquidity concentration.
result USDC's transparency led to swift market reactions, while USDT's opacity provided a safety net.

SAGE-FIN detects financial fraud using GNNs and Granger causality.

problem Detecting fraud in financial networks with limited labeled data and lack of explainability.
method Semi-supervised GNN approach with Granger causal explanations.
result SAGE-FIN outperforms on real-world financial network dataset with explainable flagged items.

ProtoNAM models tabular data with neural networks, making predictions transparent.

problem Tabular data analysis using neural networks lacks transparency and accuracy compared to tree-based methods.
method ProtoNAM introduces prototypes into neural networks to model tabular data while maintaining explainability.
result ProtoNAM outperforms existing NN-based GAMs and provides insights into learned feature patterns.

Tokenized RWAs face liquidity issues despite promising markets.

problem Low trading volumes and limited investor participation in tokenized assets.
method Empirical analysis of tokenized real estate, private credit, and treasury funds.
result Most tokenized assets exhibit low transfer activity and limited secondary trading.

Study uses topic modeling and sentiment analysis to uncover hedge fund performance insights.

problem Hedge fund opacity and limited disclosure make them hard to analyze.
method Applied topic modeling and sentiment analysis to hedge fund documents using DistilBERT and Top2Vec.
result Automated topic modeling and sentiment analysis can predict hedge fund performance.

We reparametrize ReLU NNs as splines to understand their learning dynamics.

problem Understanding the learning dynamics and inductive bias of neural networks.
method Reparametrize ReLU NNs as continuous piecewise linear splines to study learning dynamics.
result Standard weight initializations yield very flat functions, leading to strength and type of implicit regularization.

OpticNet predicts IOL optical properties from biometric data, outperforming current methods.

problem Precise prediction of IOL optical properties for cataract surgery.
method Unsupervised, domain-specific, physically motivated optical refraction network.
result OpticNet outperforms current methods in predicting IOL optical properties.

Paper uses BERT to assess P2P borrowers' credit risk from loan descriptions.

problem Information asymmetry in P2P lending due to lack of borrower data.
method Fine-tunes BERT on Lending Club dataset to generate risk scores from loan descriptions.
result BERT-generated risk scores improve XGBoost classifier's performance in loan granting.

A multi-agent system improves crypto portfolio management by processing diverse data types.

problem Managing cryptocurrency portfolios requires processing various data types under high volatility.
method A multi-agent system with three specialized agents for market dynamics, news sentiment, and signal fusion.
result The best configuration, Hierarchical (Skill), achieved a 133.52% cumulative return and 1.502 Sharpe ratio.