Strategic Classification
Summary
Strategic Classification refers to the phenomenon where individuals modify their behavior or characteristics to gain a more favorable outcome when subjected to consequential decision-making processes. This topic explores the interplay between decision-makers and the subjects of classification, highlighting the challenges and trade-offs involved. While decision-makers often attempt to create more robust classification systems to counteract strategic behavior, research has shown that these efforts can lead to unintended consequences. Specifically, improvements in institutional utility often come at the cost of increased social burden, potentially exacerbating existing inequalities and disproportionately affecting disadvantaged groups. The study of Strategic Classification emphasizes the importance of considering social welfare and fairness alongside the pursuit of strategy-robust decision-making systems.