Imai, Kosuke and Michael Lingzhi Li. (2023). ``Experimental Evaluation of Individualized Treatment Rules.'' Journal of the American Statistical Association, Vol. 118, No. 541, pp. 242-256.

 

  Abstract

The increasing availability of individual-level data has led to numerous applications of individualized (or personalized) treatment rules (ITRs). Policy makers often wish to empirically evaluate ITRs and compare their relative performance before implementing them in a target population. We propose a new evaluation metric, the population average prescriptive effect (PAPE). The PAPE compares the performance of ITR with that of non-individualized treatment rule, which randomly treats the same proportion of units. Averaging the PAPE over a range of budget constraints yields our second evaluation metric, the area under the prescriptive effect curve (AUPEC). The AUPEC represents an overall performance measure for evaluation, like the area under the receiver and operating characteristic curve (AUROC) does for classification, and is a generalization of the QINI coefficient used in uplift modeling. We use Neyman’s repeated sampling framework to estimate the PAPE and AUPEC and derive their exact finite-sample variances based on random sampling of units and random assignment of treatment.We extend our methodology to a common setting, in which the same experimental data are used to both estimate and evaluate ITRs. In this case, our variance calculation incorporates the additional uncertainty due to random splits of data used for cross-validation. The proposed evaluation metrics can be estimated without requiring modeling assumptions, asymptotic approximation, or resampling methods. As a result, it is applicable to any ITR including those based on complex machine learning algorithms. The open-source software package is available for implementing the proposed methodology.

  Software and Related Paper

Li, Michael Lingzhi and Kosuke Imai. ``evalITR: Evaluating Individualized Treatment Rules.'' available through The Comprehensive R Archive Network and GitHub
Li, Michael Lingzhi and Kosuke Imai. (2024). ``Neyman Meets Causal Machine Learning: Experimental Evaluation of Individualized Treatment Rules.'' Journal of Causal Inference, Vol 12, No. 1, pp. 1-20. Special Issue on Neyman (1923) and its influences on causal inference.
Imai, Kosuke and Michael Lingzhi Li. (2025). ``Statistical Inference for Heterogeneous Treatment Effects Discovered by Generic Machine Learning in Randomized Experiments.'' Journal of Business & Economic Statistics, Vol. 43, No. 1, pp. 256-268.
Li, Michael Lingzhi and Kosuke Imai. ``Statistical Performance Guarantee for Subgroup Identification with Generic Machine Learning.''
Jia, Zeyang, Kosuke Imai, and Michael Lingzhi Li. ``Cramming Contextual Bandits for On-policy Statistical Evaluation.''

© Kosuke Imai
 Last modified: Mon Apr 21 11:54:04 BST 2025