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Causality in Machine Learning - Should we talk about it already?

Started ‎07-27-2023 by
Modified ‎07-27-2023 by
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Causal ML becoming increasingly discussed topic these days, I thought I can quickly summarize few basics..

What is Causal ML?

Causal machine learning (Causal ML) is a subfield of machine learning that focuses on understanding and estimating causal relationships between variables. In traditional machine learning, the goal is often to predict outcomes based on input data, but it does not necessarily imply understanding the underlying causal mechanisms driving those outcomes. Causal ML, on the other hand, aims to identify cause-and-effect relationships and quantify the impact of interventions or treatments on outcomes.

 

So what is the key difference between Causal ML and Predictive ML?

The key difference between causal ML and traditional predictive ML is the focus on causality. In causal ML, researchers seek to answer questions such as:

1. What is the causal effect of a particular treatment (or intervention) on an outcome of interest?
2. What variables or features have a causal influence on the outcome?
3. What are the causal relationships among different variables in the data?

Causal inference methods in machine learning attempt to deal with confounding variables, selection bias, and other challenges that arise when trying to establish causal relationships from observational data. These methods often leverage techniques from statistics, econometrics, and other related fields to estimate causal effects rigorously.

 

What are some common approaches for Causal ML?

Randomized Controlled Trials (RCT's), Propensity Score Matching,
Instrumental Variable(IV), Structural Equation Models(SEM) are some of common Causal ML approaches

Causal ML is essential in various domains, including healthcare, economics, social sciences, and policy analysis, where understanding causality is crucial for making informed decisions and interventions. By considering causality, researchers can move beyond correlation and gain insights into the actual cause-and-effect relationships in complex systems.

 

And Finally, where is Causal ML used?
Causal ML is has become increasingly important in various fields for several reasons:

1. Informed Decision Making: Causal ML allows us to move beyond simple correlation and understand cause-and-effect relationships in complex systems. This understanding is crucial for making informed decisions, especially in areas where interventions or policy changes have significant consequences.

2. Policy Evaluation: In fields like public policy, healthcare, and education, causal ML is used to evaluate the impact of specific interventions or policies. Researchers can identify which interventions are effective and which are not, leading to better policy design and resource allocation.

3. Bias and Fairness: Causal ML helps researchers identify and mitigate biases in data and models. By understanding causal relationships, we can better address issues of fairness and equity in algorithmic decision-making systems.

4. Healthcare and Medicine: Causal ML is crucial in medical research to determine the effectiveness of treatments and medications. It helps identify which treatments lead to better patient outcomes and contributes to evidence-based medicine.

5. Economics and Social Sciences: Causal ML is widely used in economics and social sciences to study the impact of economic policies, social programs, and other interventions on individuals and society as a whole.

6. A/B Testing and Marketing: Causal ML is used in A/B testing and marketing to measure the effectiveness of different marketing strategies or product features accurately. It enables businesses to make data-driven decisions for optimizing their products and services.

7. Handling Confounding Variables: Causal ML techniques help address the issue of confounding variables in observational data, which can lead to misleading conclusions if not properly accounted for.

8. Counterfactual Prediction: Causal ML enables researchers to make counterfactual predictions, i.e., predict what would have happened to an individual or system under a different treatment or intervention scenario. This is particularly useful for personalized medicine and targeted interventions.

 

Overall, causal ML plays a crucial role in understanding complex systems, evaluating the impact of interventions, and making evidence-based decisions across various domains. It complements traditional predictive ML by providing insights into causality and allowing us to go beyond predicting outcomes to understanding the underlying mechanisms that drive those outcomes.

 

Comments

Some key-procedures in SAS that have causal inference methods:

  • The SAS/STAT® product contains five procedures that are specifically designed for causal inference.
    • PROC CALIS (to fit structural equation models and for path analysis). 
      CALIS stands for Covariance Analysis of Linear Structural Equations.
    • PROC CAUSALMED, PROC PSMATCH,  PROC CAUSALTRT, PROC CAUSALGRAPH.
  • PROC DEEPCAUSAL (Deep Neural Networks (DNNs) to perform causal inference). PROC DEEPCAUSAL is in SAS Econometrics

Koen

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‎07-27-2023 05:16 AM
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