Cost-Sensitive Learning

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2 papers in the last four weeks, with none the four weeks before. 0.0% of all new papers.

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Latest papers 19

Oct 5, 2026stat.ML

A Query Is Not a Commitment: Learning to Correct Expert Answers in Online Deferral

An inaccurate expert can still provide useful information after correction. We study online learning to defer in which the learner chooses an expert and fixes a correction function before purchasing its answer, then applies that function to the answer received. The difficulty is that observed losses reflect both expert quality and an unfinished correction: early errors can discourage queries that would be valuable after learning. We propose ORUCB, which pools shared and expert-specific polynomial responses. A bound on cumulative response-learning error calibrates confidence-weighted risk regression and exploration, allowing the router to account for this error when deciding which answers to buy. Under bounded residuals and disagreements, a fixed feasible model of optimal responses, and linear models of free and optimal queried risk, the calibrated algorithm achieves high-probability pseudo-regret

O(\sqrt T\log(T+1))

over

T

rounds for fixed problem parameters. The guarantee permits singular answer distributions and misspecified shared responses; optimality is relative to the bounded response class. On four test streams, the selected cubic policy has lower fee-inclusive cost than seven baselines that deploy answers unchanged. Comparisons with a common correction learner examine routing, while six-price comparisons measure cost and query rates.

Yannis Montreuil, Axel Carlier, Lai Xing Ng +1

School of Computing, National University of Singapore · IRIT, Toulouse INP, France · Institute for Infocomm Research, A*STAR, Singapore

Cost-Sensitive Learning Learning to Defer

Sep 24, 2026math.OC

Cost-Sensitive Online Window Size Selection for Portfolio Management

This paper investigates cost-sensitive online window size selection for portfolio management under changing market conditions. Specifically, we propose a two-level framework that constructs portfolios using candidate window sizes and dynamically aggregates them through online learning. By treating candidate window sizes as ``experts,'' we dynamically update their aggregation weights using turnover-inclusive losses. Moreover, we derive finite-horizon cost-sensitive tracking-regret bounds that account for turnover of the aggregated portfolio, with static regret as a special case. Under bounded losses and cost rates, suitably tuned Fixed Share achieves asymptotically no tracking regret for sublinear switching budgets, with Hedge covering the static case.

Yi-Chen Liu, Chung-Han Hsieh

Interdisciplinary Program of Management and Technology, National Tsing Hua University · Department of Quantitative Finance, National Tsing Hua University, Taiwan.

Cost-Sensitive Learning Regret Minimization Portfolio Optimization

Sep 21, 2026cs.LG

Misaligned Clinical Risk Classification and Cost Asymmetry in Open-Weight Large Language Models

How large language models (LLMs) integrate patient risk with clinical cost tradeoffs remains poorly understood. We investigated how four open-weight LLMs (Qwen-2.5-7B/32B and Llama-3.1-8B/70B) internally represent cost tradeoffs, how these representations relate to clinical predictions, and whether decisions shift as predicted by the specified cost direction and magnitude. Using a public diabetes dataset, we varied 11 false-negative (FN) to false-positive (FP) cost ratios across three phrasings and examined representations and behavioral outputs. Patient risk was linearly recoverable on par with conventional classifiers (AUC

\approx 0.83

), and cost direction was recoverable in every model. However, representational shifts in cost direction tracked output changes only in the two larger models, and responses to cost magnitude were predominantly direction-agnostic. Only 2 of 12 model-phrasings showed both opposing responses to increasing FN versus FP costs and cost-correct ordering. Representationally, a direction fitted on one cost side did not invert when transferred to the other, as expected under mirror-symmetric encoding. These findings suggest that LLMs encode risk and cost information but do not reliably integrate them into cost-correct decisions. Clinical evaluations should therefore include tradeoff tests, phrasing sensitivity, and default operating points alongside predictive performance.

Star S. D. Liu, Xiyu Ding, Robert B. Barrett +3

Biomedical Informatics and Data Science, Johns Hopkins University School of Medicine, Baltimore, MD, USA · Microsoft, Redmond, WA, USA · National Institutes of Health, Bethesda, MD, USA

Cost-Sensitive Learning LLM Interpretability Clinical Decision-Making Open-Weight Language Models Clinical Language Model Evaluation Clinical Risk Prediction

Jul 29, 2026cs.LG

Cost-Sensitive Conformal Prediction and Human-in-the-Loop Abstention for Imbalanced High-Stakes Decision Support: A Multi-Domain Benchmark

High-stakes decision systems in credit scoring, fraud detection, healthcare, and industrial safety require reliable uncertainty quantification under severe class imbalance and asymmetric error costs. Standard marginal conformal prediction (CP) provides valid overall coverage guarantees; however, we show that it severely under-covers rare, costly minority classes, with minority-class coverage dropping to as low as 0.5% on certain datasets. To characterize and address this limitation, we conduct a comprehensive benchmark comparing marginal CP, class-conditional (Mondrian) CP, and cost-controlled abstention mechanisms across 15 real-world imbalanced tabular datasets, 7 classification models, 3 probability calibration techniques, and 10 random seeds, resulting in 3,150 experimental runs. Our results show that Mondrian CP restores valid minority-class coverage, achieving an average minority-coverage improvement of 61.7 percentage points over marginal CP (p < 1e-80). Furthermore, combining Mondrian CP with cost-controlled abstention significantly reduces expected decision cost compared with standard decision boundaries, confidence-based rejectors, and risk-controlled rejectors under realistic human review budgets. We further quantify dataset-specific break-even thresholds at which deferring ambiguous instances to human experts becomes cost-effective. These findings provide practical guidance for deploying distribution-free, cost-aware uncertainty quantification in high-stakes decision support systems.

Manpreet Singh, Akshatha Srikantha, Shyamal Lakhanpal

Class-Imbalanced Learning Cost-Sensitive Learning Selective Prediction Conformal Prediction

Jul 26, 2026cs.AI

Cost-Aware Recovery-Pathway Identification and Bayesian Optimization for Autonomous Materials Discovery

Autonomous laboratories automate experimental execution, but a campaign must also decide which recovery pathway merits optimization. We formulate this as a sequential decision problem with a discrete pathway-identification stage and a continuous within-pathway optimization stage under heterogeneous experimental costs. Our implementation, Coactive learning, combines a cost-sensitive Bayesian hypothesis-discrimination policy motivated by EC2 (Golovin et al., 2010) with Gaussian-process Bayesian optimization (Srinivas et al., 2010). Under explicitly stated assumptions, the expected spend of one fixed-budget campaign attempt is bounded by the expected pathway-identification cost plus the capped within-pathway optimization budget. We evaluate the method on synthetic benchmarks constrained by selected results reported for PNNL's CICERO selective-precipitation study (Ritchhart et al., 2026). The method performs comparably to an oracle-pathway Bayesian-optimization reference and to a strong split-plate baseline that discriminates pathways with its first plate, without receiving an oracle label for the correct pathway. It is given a candidate hypothesis space and a diagnostic likelihood model. On an NdFeB-inspired instance, it avoids the simulated penalty of a commit-first baseline that initially selects a plausible but inferior hydroxide pathway. This hypothetical wrong-first-commitment scenario is motivated by the hydroxide-oxalate performance contrast reported by CICERO. We characterize the sensitivity of these conclusions to the assumed cost model. The code and benchmark are open source.

Debajyoti Ray, Niranjan Srinivas

Coactive Science

Cost-Sensitive Learning Bayesian Optimization Bayesian Inference Materials Science Bayesian Experimental Design Autonomous Experimentation

Jul 16, 2026cs.LG

Asymmetric Peak-Aware Loss for Peak-Critical Time Series Forecasting

In many operational time-series forecasting applications, such as crowd demand forecasting, the risk related to under-prediction is substantially higher than that of over-prediction. Accurate prediction of rare demand spikes plays a critical role in downstream tasks. Yet most time-series forecasters are trained with symmetric objectives (e.g., MSE, MAE) and evaluated primarily on aggregate error, which can mask failures in extreme-values and peak-timing predictions. We introduce Asymmetric Peak-Aware Loss (APAL), a simple, model-agnostic objective that (i) penalizes under-predictions more heavily and (ii) increases the training weight of peak regions within each forecast window. We further propose a peak-critical evaluation protocol that complements MAE/MSE with channel-wise tail error (Top-10% and Top-1%) and peak metrics (precision, recall, F1 under timing tolerance, and peak timing error). We evaluate APAL on long-horizon multivariate forecasting across five state-of-the-art backbones, with a focus on pedestrian demand forecasting using (i) a production-ready subset of the City of Melbourne pedestrian hourly count dataset and (ii) a beach visitor count dataset. The generality of the loss function for time-series forecasting is tested on additional benchmarks. Across peak-critical datasets and settings, APAL improves tail accuracy and peak-prediction quality while exposing a controllable trade-off with aggregate error, making it a practical solution when peak-prediction failures are the dominant operational concern.

Theivaprakasham Hari, Yanan Xin, Winnie Daamen +2

Department of Transport and Planning, Faculty of Civil Engineering and Geosciences Delft University of Technology, Delft, The Netherlands · Mobility Innovation Centre Delft University of Technology, Delft, The Netherlands

Multivariate Time Series Forecasting Long-Term Time Series Forecasting Cost-Sensitive Learning Time Series Forecasting

Jul 13, 2026econ.EM

Removable Defects: The Economics and Limits of Deliberate Deficiency

A specialist tolerates blind spots that a generalist does not. Usually this is treated as a cost to be minimized. We treat it as a design variable: a deficiency can be kept because it pays and removed on demand in the rare situation where it would be fatal, by routing to a compensation channel. We give three results. First, an advantage condition under which keeping the deficiency is a computable economic position; structurally it is the Ehrlich-Becker market-vs-self-insurance margin applied to a competence gap, with the detector as a Townsend costly-state-verification technology. Second, a two-sided characterization of removability. A coupling lemma shows that when the deficiency is a coarsening of perception, no switch can separate benefit from harm, yielding a converse (a confounded detector earns zero premium, and any within-defect policy insisting on positive premium is driven, under multiplicative dynamics, to negative long-run growth) and an achievability result (a detector outside the deficiency earns a positive premium). Together, over structured uncertainty classes with severity capped or miss rate O(1/L): a defect is profitably removable iff the detector-relevant distinction survives the restriction and the advantage condition holds; the premium is the support function of the class's ROC set at an economic price vector. Third, observation defects and capacity defects differ exactly on whether access to the deployment distribution rescues them; the gap decomposes as cross-leak plus a closure deficit, and per-task randomization buys back the latter, never the former. The detector can be learned from declared fatal categories at a training bill linear in loss severity (up to a log factor). The results synthesize Chow's reject option, Kelly growth under ruin, and selective prediction.

Cheng Qian

Cost-Sensitive Learning Selective Prediction Decision-Making under Uncertainty

Jul 1, 2026cs.LG

Decision-Aware Training for Sample-Based Generative Models

Sample-based generative models are increasingly used for probabilistic forecasting in high-stakes decision settings, yet their training objectives are blind to the decision maker's cost structure. These models are commonly trained with strictly proper scoring rules, such as the energy score, which allocate their training signal in proportion to data density, with no awareness of where forecast errors are most costly for downstream decisions. We therefore propose decision-aware training for sample-based generative models, augmenting the energy score objective with a differentiable decision loss that directly penalises the cost incurred by acting on the model's forecast. This combined loss is theoretically grounded, as the decision loss is itself a proper scoring rule. We validate our method on one synthetic and two real-world tasks, showing targeted improvements in cost-sensitive regions while retaining full probabilistic forecasts.

Kornelius Raeth, Nicole Ludwig

T ubingen AI Center, University of T ubingen, Germany · University of Augsburg, Germany

Cost-Sensitive Learning Probabilistic Forecasting Decision-Focused Learning Proper Scoring Rules Generative Modeling

Jun 24, 2026cs.LG

Deep Neural Networks with Ordinal Loss for Medical Applications

In many prediction problems in medical applications, target labels exhibit an inherent ordinal structure, where class ordering reflects clinically meaningful severity levels. The cost associated with misclassification is often non-uniform and asymmetric, as errors between distant ordinal categories may have substantially more severe consequences than errors between adjacent ones, and overestimating disease severity may have different clinical implications than underestimating it. Traditional loss functions such as multi-class cross-entropy treat all misclassifications equally and fail to incorporate this ordering information. Recent advances in ordinal regression aim to address this limitation by integrating rank-based structures into deep learning models. In this work, we introduce the \textbf{Ordinal Cross-Entropy (OCE)} framework, a general and architecture-independent approach for learning from ordinal data. The proposed method extends the standard cross-entropy formulation to account for misclassification severity through an ordinal cost matrix while preserving the probabilistic interpretation and optimization benefits of the conventional loss. We provide a theoretical analysis of the OCE gradient behavior and show that it yields smoother optimization dynamics and improved ordinal consistency. Experiments on benchmark datasets show that our method achieves lower prediction error costs and better calibration compared to existing state-of-the-art ordinal approaches, establishing OCE as a simple yet effective solution for ordinal regression in deep neural networks.

Tal Dvora, Rotem Haba, Gonen Singer

Bar-Ilan University Ramat Gan, Israel

Cost-Sensitive Learning Ordinal Regression

May 29, 2026cs.LG

SDM-Q: Cost-Aware Staged Decision-Making for Multi-Omics Classification with Deep Q-Learning

Multi-omics data provide complementary molecular characterizations of disease phenotypes and play an important role in disease diagnosis and subtype classification in precision medicine. However, acquiring complete multi-omics profiles is expensive and time-consuming, while most existing deep learning methods assume full modality availability during inference, resulting in substantial redundancy and limited practicality in clinical settings. To address this issue, we propose SDM-Q, a reinforcement learning framework for adaptive and cost-aware multi-omics classification. Specifically, multi-omics diagnosis is reformulated as a finite-horizon sequential decision problem, where the currently acquired omics modalities define the diagnostic state at each stage. An action--value function determines whether to acquire an additional modality or terminate the decision process and output the final prediction. To balance diagnostic utility and acquisition cost, the reward is defined only at the terminal stage and jointly determined by classification correctness and cumulative modality acquisition cost. A backward stage-wise optimization strategy is introduced to improve policy consistency and training stability. Experiments on four public multi-omics datasets, including ROSMAP, LGG, BRCA, and KIPAN, demonstrate that SDM-Q effectively reduces redundant modality acquisition while maintaining competitive classification performance compared with methods using complete multi-omics inputs. In the BRCA and KIPAN datasets, more than 99% and 95% of subjects, respectively, achieve accurate classification using only a single omics modality, while the average number of acquired modalities remains below two for ROSMAP and LGG. These results suggest that cost-aware sequential decision-making provides an effective paradigm for improving the efficiency of precision medicine workflows.

Nan Mu, Yangfan Xiao, Ling Wang +3

College of Computer Science, Sichuan Normal University, Chengdu, Sichuan 610101, China. · Department of Mathematics, College of Science and Mathematics, Kennesaw State University, Kennesaw, GA 30144, USA. · Department of Computer Science, College of Computing and Software Engineering, Kennesaw State University, Marietta, GA 30060, USA.

Cost-Sensitive Learning Deep Q-Learning Multimodal Classification

May 18, 2026cs.LG

Scalable Decision-Focused Learning through Cost-Sensitive Regression

Many real-world combinatorial problems involve uncertain parameters, which can be predicted given contextual features and historical data. These predict-then-optimize' or contextual optimization' problems have gained significant attention: end-to-end training methods can now minimize the downstream task cost rather than the predictive error. However, despite their effectiveness, these decision-focused learning (DFL) approaches often rely on repeated solving of the underlying combinatorial optimization problem during training, making them computationally expensive and difficult to scale. We reframe the learning problem as a cost-sensitive multi-output regression problem: multi-output due to the combinatorial problem having multiple uncertain parameters, and cost-sensitive due to the downstream task cost being the real target. Our technical contribution is the formalization of multiple loss function components that follow from this reframing: cost-insensitive normalization, decision-aware asymmetric penalization of over- and underpredictions, and instance-based costs that mimic the true downstream task-based loss locally. These components require zero or one solve per training data instance, while requiring no further solves during training. Experiments show that the combination of loss components achieves comparable downstream task quality to the state of the art, while being significantly more efficient, enabling scaling to problem sizes that have not been tackled before with DFL.

Noah Schutte, Senne Berden, Tias Guns +2

Delft University of Technology · KU Leuven · Independent Researcher

Cost-Sensitive Learning Decision-Focused Learning

May 4, 2026cs.LG

Instance-Level Costs for Nuanced Classifier Evaluation

Standard classification treats all errors equally, but in applications such as content moderation and medical screening, mistakes on clear-cut cases are more costly than errors on ambiguous ones. From a contextual bandit framework, we propose normalized excess cost (NEC), a metric that weighs classification errors by per-example costs and reduces to standard error rate when costs are uniform. Costs can derive from annotator vote margins, distance from decision thresholds, or confidence ratings. Across text, image, and tabular benchmarks, we find that NEC is often substantially lower than error rate: models with 5% error rate can achieve 1.8% NEC, revealing that most mistakes concentrate on ambiguous, low-cost examples. We also find that incorporating costs into training via loss weighting, sampling strategies, or regression yields inconsistent benefits. Our framework provides a practical methodology for deriving and evaluating instance-level misclassification costs, even if cost-sensitive training offers limited benefit.

Kabir Kang, Stephen Mussmann

School of Computer Science, Georgia Institute of Technology, Atlanta, GA, USA.

Cost-Sensitive Learning Classification

Apr 30, 2026cs.LG

Optimized Deferral for Imbalanced Settings

Learning algorithms can be significantly improved by routing complex or uncertain inputs to specialized experts, balancing accuracy with computational cost. This approach, known as learning to defer, is essential in domains like natural language generation, medical diagnosis, and computer vision, where an effective deferral can reduce errors at low extra resource consumption. However, the two-stage learning to defer setting, which leverages existing predictors such as a collection of LLMs or other classifiers, often faces challenges due to an expert imbalance problem. This imbalance can lead to suboptimal performance, with deferral algorithms favoring the majority expert. We present a comprehensive study of two-stage learning to defer in expert imbalance settings. We cast the deferral loss optimization as a novel cost-sensitive learning problem over the input-expert domain. We derive new margin-based loss functions and guarantees tailored to this setting, and develop novel algorithms for cost-sensitive learning. Leveraging these results, we design principled deferral algorithms, MILD (Margin-based Imbalanced Learning to Defer), specifically suited for expert imbalance settings. Extensive experiments demonstrate the effectiveness of our approach, showing clear improvements over existing baselines on both image classification and real-world Large Language Model (LLM) routing tasks.

Corinna Cortes, Anqi Mao, Mehryar Mohri +1

Google Research, New York, NY · Courant Institute of Mathematical Sciences, New York, NY

Cost-Sensitive Learning Learning to Defer LLM Routing

Apr 26, 2026cs.CV

Risk-Aware Robust Learning: Reducing Clinical Risk under Label Noise in Medical Image Classification

Noisy labels are a pervasive challenge in medical image classification, where annotation errors arise from inter-observer variability and diagnostic ambiguity. Although several noise-robust learning methods have been proposed, their evaluation predominantly relies on accuracy-oriented metrics, overlooking the clinical implications of asymmetric error costs. In medical diagnosis, a false negative (missed disease) carries substantially higher consequences than a false positive (false alarm), as delayed treatment can directly impact patient outcomes. In this work, we investigate whether noise-robust training methods preserve clinical safety under label noise. We conduct a systematic risk-aware evaluation of the state-of-the-art noise-robust methods Coteaching, DivideMix, UNICON, and a GMM-based filtering approach on binarized DermaMNIST and PathMNIST datasets under clean and label noise rates of 20%, and 40%. Beyond balanced accuracy, we adopt a cost-sensitive Global Risk formulation that explicitly penalizes false negatives. Our analysis reveals that the robustness of state-of-the-art methods does not guarantee clinical safety. Furthermore, we demonstrate that integrating cost-sensitive optimization into noise-robust training significantly reduces clinical risk, while mantaining model utility. These findings demonstrate that noise-robust learning must be evaluated through a clinical risk lens, and that combining robust training with cost-sensitive optimization can meaningfully reduce risk in noisy-label medical imaging scenarios.

Maycon R. S. Pereira, Filipe R. Cordeiro

Visual Computing Lab, Departamento de Computac¸˜ao, Universidade Federal Rural de Pernambuco (UFRPE), Brasil

Cost-Sensitive Learning Medical Image Classification Learning with Noisy Labels

Apr 5, 2026cs.LG

Learning an Interpretable Risk Scoring System for Maximizing Decision Net Benefit

Risk scoring systems are widely used in high-stakes domains to assist decision-making. However, existing approaches often focus on optimizing predictive accuracy or likelihood-based criteria, which may not align with the main goal of maximizing utility. In this paper, we propose a novel risk scoring system that directly optimizes net benefit over a range of decision thresholds. The model is formulated as a sparse integer linear programming problem which enables the construction of a transparent scoring system with integer coefficients, and hence, facilitates interpretation and practical application. We also establish fundamental relationships among net benefit, discrimination, and calibration. Our analysis proves that optimizing net benefit also guarantees conventional performance measures. We evaluated our method on multiple public datasets as well as on a large-scale credit risk dataset. This computational study demonstrated that our interpretable method can effectively achieve high net benefit while maintaining competitive discrimination and calibration performance.

Wenhao Chi, Ş. İlker Birbil

Yau Mathematical Sciences Center, Tsinghua University · Amsterdam Business School, University of Amsterdam

Cost-Sensitive Learning Interpretable ML

Jan 30, 2026cs.LG

Learning-to-Defer in Non-Stationary Time Series via Switching State-Space Models

Learning-to-defer (L2D) lets a predictor decide, at each round, whether to issue its own forecast or pay for an expert's. In non-stationary time series this decision must keep adapting, although deployment reveals only the consulted expert's forecast while a historical archive records every expert with the target. L2D-SLDS learns from this archive a switching state-space model of the target and all expert forecasts, whose shared and expert-specific states describe how experts move together and apart. Its predictive law supplies the internal forecast and the expected cost of every consultation, which a greedy router minimizes, and one consultation also updates the beliefs about unconsulted and unavailable experts. We prove sublinear regret against a changing conditional-risk oracle without exploration, when the candidate models are accurate and either the archive separates them or live feedback reveals cost differences. On three real datasets, L2D-SLDS has the lowest cost among eight bandit routers and adapts its consultation rate to the fee.

Yannis Montreuil, Letian Yu, Axel Carlier +2

School of Computing National University of Singapore · Université de Toulouse Fédération ENAC ISAE-SUPAERO ONERA · Institute for Infocomm Research A*STAR, Singapore

Cost-Sensitive Learning Adaptive Model Routing Learning to Defer Decision-Focused Learning Non-Stationary Time Series Forecasting State Space Models

Sep 17, 2025cs.CR

Risk-Calibrated Bayesian Streaming Intrusion Detection with SRE-Aligned Decisions

[Corrected v2: an audit found that the score, threshold, and latency descriptions below are not what the shared codebase implements, and that the evaluation streams are assembled constructions. See the correction note on the title page and the corrected companion work, arXiv:2605.24696 (corrected v3), artifact doi:10.5281/zenodo.22673735.] We present a risk-calibrated approach to streaming intrusion detection that couples Bayesian Online Changepoint Detection (BOCPD) with decision thresholds aligned to Site Reliability Engineering (SRE) error budgets. BOCPD provides run-length posteriors that adapt to distribution shift and concept drift; we map these posteriors to alert decisions by optimizing expected operational cost under false-positive and false-negative budgets. We detail the hazard model, conjugate updates, and an O(1)-per-event implementation. A concrete SRE example shows how a 99.9% availability SLO (43.2 minutes per month error budget) yields a probability threshold near 0.91 when missed incidents are 10x more costly than false alarms. We evaluate on the full UNSW-NB15 and CIC-IDS2017 benchmarks with chronological splits, comparing against strong unsupervised baselines (ECOD, COPOD, and LOF). Metrics include PR-AUC, ROC-AUC, Brier score, calibration reliability diagrams, and detection latency measured in events. Results indicate improved precision-recall at mid to high recall and better probability calibration relative to baselines. We release implementation details, hyperparameters, and ablations for hazard sensitivity and computational footprint. Code and reproducibility materials will be made available upon publication; datasets and implementation are available from the corresponding author upon reasonable request.

Michel A. Youssef

Independent Researcher · Independent Researcher, Lebanon

Cost-Sensitive Learning Probability Calibration Online Anomaly Detection Network Intrusion Detection

Jun 2, 2025cs.LG

Model-agnostic Mitigation Strategies of Data Imbalance for Regression

Data imbalance persists as a pervasive challenge in regression tasks, introducing bias in model performance and undermining predictive reliability. This is particularly detrimental in applications aimed at predicting rare events that fall outside of the domain of the bulk of the training data. In this study, we review the current state-of-the-art regarding sampling-based methods and cost-sensitive learning. Additionally, we propose novel approaches to mitigate model bias. To better assess the importance of data, we introduce the density-distance and density-ratio relevance functions, which effectively integrate empirical frequency of data with domain-specific preferences, offering enhanced interpretability for end-users. Furthermore, we present advanced mitigation techniques (cSMOGN and crbSMOGN), which build upon and improve existing sampling methods. In a quantitative evaluation, we benchmark state-of-the-art methods on 10 synthetic and 42 real-world datasets, using neural networks, XGBoosting trees and Random Forest models. Our analysis shows that while most strategies improve performance on rare samples, they degrade it on frequent ones. The trade-off becomes larger the more the performance on rare samples is increased. However, to reduce this effect we demonstrate that constructing an ensemble of models -- one trained with imbalance mitigation and another without -- can be used. The key findings underscore the superior performance of our novel crbSMOGN sampling technique with the density-ratio relevance function for neural networks, outperforming state-of-the-art methods.

Jelke Wibbeke, Sebastian Rohjans, Andreas Rauh

Department of Computing Science Carl von Ossietzky Universität Oldenburg · Energy Division, OFFIS - Institute of Information Technology, Oldenburg, Germany · Department for Civil Engineering, Geoinformation and Health Technology Jade University of Applied Science

Cost-Sensitive Learning

Sep 19, 2024cs.LG

iCost: A Novel Instance-Complexity-Based Cost-Sensitive Learning Framework

Class imbalance poses a significant challenge in classification tasks, often causing standard learning algorithms to become biased toward the majority class. Cost-sensitive learning (CSL) addresses this issue by assigning higher penalties to minority-class misclassifications. However, conventional CSL typically applies a uniform penalty to all minority-class instances, ignoring the fact that minority samples may differ substantially in terms of local safety, overlap, boundary ambiguity, and outlier-like behavior. Uniform penalization can therefore introduce undue bias, increasing the number of misclassifications. In this study, we propose iCost, an instance-complexity-aware CSL framework that assigns adaptive penalties to minority-class samples according to their estimated learning difficulty. This fine-grained penalization strategy ensures fairer weighting, reduces unwarranted bias, and improves overall classification performance. Two complementary complexity estimation strategies are introduced: Neighbor-iCost, based on local neighborhood composition, and Gini-iCost, based on Gini-impurity-based feature-space partitioning. Extensive experiments on 65 binary and 10 multiclass imbalanced datasets show that iCost outperforms conventional CSL by a clear margin and remains highly competitive with widely used resampling methods. To support reproducibility and practical adoption, the proposed algorithm has been released as a scikit-learn-compatible Python package through PyPI. This work offers a fresh perspective on imbalanced learning by integrating instance-level data complexity into the learning process, opening new avenues for developing adaptive, complexity-aware strategies for imbalanced classification.

Asif Newaz, Asif Ur Rahman Adib, Taskeed Jabid

Department of Electrical and Electronic Engineering, Islamic University of Technology (IUT), Gazipur, Bangladesh · Department of Electrical and Electronic Engineering, Ahsanullah University of Science and Technology (AUST), Dhaka, Bangladesh · Department of Computer Science and Engineering, East West University, Dhaka, Bangladesh

Class-Imbalanced Learning Cost-Sensitive Learning Adaptive Loss Weighting