EconBase
← All papers

Group Shapley Value and Counterfactual Simulations in a Structural Model

Yongchan Kwon, Sokbae Lee, Guillaume A. Pouliot

arXiv 9 Oct 2024 · Econometrics

arXiv:2410.06875 · PDF · DOI · OpenAlex · Extracted main text

Abstract

We propose a variant of the Shapley value, the group Shapley value, to interpret counterfactual simulations in structural economic models by quantifying the importance of different components. Our framework compares two sets of parameters, partitioned into multiple groups, and applying group Shapley value decomposition yields unique additive contributions to the changes between these sets. The relative contributions sum to one, enabling us to generate an importance table that is as easily interpretable as a regression table. The group Shapley value can be characterized as the solution to a constrained weighted least squares problem. Using this property, we develop robust decomposition methods to address scenarios where inputs for the group Shapley value are missing. We first apply our methodology to a simple Roy model and then illustrate its usefulness by revisiting two published papers.

Citation extraction

25
references
73
in-text mentions
25
distinct cited
1
self-citations
9,877
main-text words

appendix boundary found by appendix_command · 91% of the source is main text. Read the extracted text to check this.

Most heavily cited references

The works this paper leans on most, across its whole bibliography — not restricted to papers in our corpus. Ranked by composite intensity, which combines how often a work is mentioned, how many sections mention it, and how much of that falls in the main text rather than the appendix.

ReferenceIntensityMentionsSectionsMain text
1Coşar, A. K., N. Guner, and J. Tybout (2016) Firm dynamics, job turnover, and wage distributions in an open economy1.00073100%
2Lundberg, S. M. and S.-I. Lee (2017) A unified approach to interpreting model predictions1.00064100%
3David, J. M. and V. Venkateswaran (2019) The sources of capital misallocation0.874252100%
4Honoré, B. E. and L. Hu (2017) Poor (wo) man's bootstrap0.87452100%
5Gul, F (1989) Bargaining foundations of Shapley value0.73732100%
6Charnes, A., B. Golany, M. Keane, and J. Rousseau (1988) Extremal principle solutions of games in characteristic function form: Core, Chebychev and Shapley value generalizations0.64441100%
7Shapley, L. S (1953) A value for n-person games0.64422100%
8Aas, K., M. Jullum, and A. Lland (2021) Explaining individual predictions when features are dependent: More accurate approximations to Shapley values0.64422100%
9Moulin, H (2004) Fair division and collective welfare0.64422100%
10Owen, A. B (2014) Sobol' Indices and Shapley Value0.51121100%

Showing the top 10 of 25 scored citations.