Cascaded Language Models for Cost-effective Human-AI Decision-Making

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Autori principali: Fanconi, Claudio, van der Schaar, Mihaela
Natura: Preprint
Pubblicazione: 2025
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author Fanconi, Claudio
van der Schaar, Mihaela
author_facet Fanconi, Claudio
van der Schaar, Mihaela
contents A challenge in human-AI decision-making is to balance three factors: the correctness of predictions, the cost of knowledge and reasoning complexity, and the confidence about whether to abstain from automated answers or escalate to human experts. In this work, we present a cascaded LLM decision framework that adaptively delegates tasks across multiple tiers of expertise -- a base model for initial candidate answers, a more capable and knowledgeable (but costlier) large model, and a human expert for when the model cascade abstains. Our method proceeds in two stages. First, a deferral policy determines whether to accept the base model's answer or regenerate it with the large model based on the confidence score. Second, an abstention policy decides whether the cascade model response is sufficiently certain or requires human intervention. Moreover, to overcome static policies and accommodate changing task difficulty, we incorporate an online learning mechanism which uses human feedback. We demonstrate this approach to general question-answering (ARC-Easy, ARC-Challenge, and MMLU) and medical question-answering (MedQA and MedMCQA). Our results demonstrate that our cascaded strategy outperforms single-model baselines in most cases, achieving higher accuracy while reducing costs and providing a principled approach to handling abstentions.
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id arxiv_https___arxiv_org_abs_2506_11887
institution arXiv
publishDate 2025
record_format arxiv
spellingShingle Cascaded Language Models for Cost-effective Human-AI Decision-Making
Fanconi, Claudio
van der Schaar, Mihaela
Artificial Intelligence
Computation and Language
A challenge in human-AI decision-making is to balance three factors: the correctness of predictions, the cost of knowledge and reasoning complexity, and the confidence about whether to abstain from automated answers or escalate to human experts. In this work, we present a cascaded LLM decision framework that adaptively delegates tasks across multiple tiers of expertise -- a base model for initial candidate answers, a more capable and knowledgeable (but costlier) large model, and a human expert for when the model cascade abstains. Our method proceeds in two stages. First, a deferral policy determines whether to accept the base model's answer or regenerate it with the large model based on the confidence score. Second, an abstention policy decides whether the cascade model response is sufficiently certain or requires human intervention. Moreover, to overcome static policies and accommodate changing task difficulty, we incorporate an online learning mechanism which uses human feedback. We demonstrate this approach to general question-answering (ARC-Easy, ARC-Challenge, and MMLU) and medical question-answering (MedQA and MedMCQA). Our results demonstrate that our cascaded strategy outperforms single-model baselines in most cases, achieving higher accuracy while reducing costs and providing a principled approach to handling abstentions.
title Cascaded Language Models for Cost-effective Human-AI Decision-Making
topic Artificial Intelligence
Computation and Language
url https://arxiv.org/abs/2506.11887