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An Algorithm for Identifying Interpretable Subgroups With Elevated Treatment Effects

Albert Chiu

arXiv 13 Jul 2025 · Statistics — Machine Learning

arXiv:2507.09494 · PDF · DOI · OpenAlex · Extracted main text

Abstract

We introduce an algorithm for identifying interpretable subgroups with elevated treatment effects, given an estimate of individual or conditional average treatment effects (CATE). Subgroups are characterized by “rule sets” -- easy-to-understand statements of the form (Condition A AND Condition B) OR (Condition C) -- which can capture high-order interactions while retaining interpretability. Our method complements existing approaches for estimating the CATE, which often produce high dimensional and uninterpretable results, by summarizing and extracting critical information from fitted models to aid decision making, policy implementation, and scientific understanding. We propose an objective function that trades-off subgroup size and effect size, and varying the hyperparameter that controls this trade-off results in a “frontier” of Pareto optimal rule sets, none of which dominates the others across all criteria. Valid inference is achievable through sample splitting. We demonstrate the utility and limitations of our method using simulated and empirical examples.

Citation extraction

24
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30
in-text mentions
24
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7,254
main-text words

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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
1Athey \ Wager (2021) Policy learning with observational data0.84333100%
2Wager \ Athey (2018) Estimation and inference of heterogeneous treatment effects using random forests0.84333100%
3Wang \ Rudin (2022) Causal rule sets for identifying subgroups with enhanced treatment effects0.64422100%
4Miettinen (1999) Nonlinear multiobjective optimization0.51121100%
5Athey \ Imbens (2016) Recursive partitioning for heterogeneous causal effects0.40511100%
6Chiu \ Xu (2023) Bayesian rule set: a quantitative alternative to qualitative comparative analysis0.40511100%
7Czyzżak \ Jaszkiewicz (1998) Pareto simulated annealing–-a metaheuristic technique for multiple-objective combinatorial optimization0.40511100%
8Doshi-Velez \ Kim (2017) Towards a rigorous science of interpretable machine learning0.40511100%
9Foster, Taylor \ Ruberg (2011) Subgroup identification from randomized clinical trial data0.40511100%
10Grimmer, Messing \ Westwood (2017) Estimating heterogeneous treatment effects and the effects of heterogeneous treatments with ensemble methods0.40511100%

Showing the top 10 of 24 scored citations.