arXiv AI By Biao Xiang, Ali Eshragh, Yuexing Li, Kai Wang

Budgeted Multi-Source Counterfactual Annotation for Off-Policy Evaluation

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The paper proposes a method for allocating limited counterfactual annotation resources from multiple sources—such as domain experts and large language models—to improve off-policy evaluation in contextual bandits. By formulating an integer optimization problem that balances source-specific costs and error rates, the authors derive a majorization‑minimization algorithm that iteratively reduces estimator variance. Experiments on synthetic clinical and education bandit data demonstrate that the optimized allocation cuts mean‑squared error by over 20% compared to no annotation.

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