# The Social Cost of Strategic Classification

arXiv: https://arxiv.org/abs/1808.08460 · HTML: https://mlsanity.com/paper/1808.08460/

## Key facts

- Cited by 105 papers in the map (data through 14 Oct 2026).
- First posted on arXiv 25 Aug 2018.

## Built on by (most cited first, 30 of 105)

- [Outside the Echo Chamber: Optimizing the Performative Risk](https://mlsanity.com/paper/2102.08570/) (2021)
- [Strategic Classification in the Dark](https://mlsanity.com/paper/2102.11592/) (2021)
- [Strategic Classification Made Practical](https://mlsanity.com/paper/2103.01826/) (2021)
- [Who Leads and Who Follows in Strategic Classification?](https://mlsanity.com/paper/2106.12529/) (2021)
- [Performative Prediction: Past and Future](https://mlsanity.com/paper/2310.16608/) (2023)
- [Information Discrepancy in Strategic Learning](https://mlsanity.com/paper/2103.01028/) (2021)
- [Alternative Microfoundations for Strategic Classification](https://mlsanity.com/paper/2106.12705/) (2021)
- [Performative Power](https://mlsanity.com/paper/2203.17232/) (2022)
- [Modeling Content Creator Incentives on Algorithm-Curated Platforms](https://mlsanity.com/paper/2206.13102/) (2022)
- [Stateful Strategic Regression](https://mlsanity.com/paper/2106.03827/) (2021)
- [On classification of strategic agents who can both game and improve](https://mlsanity.com/paper/2203.00124/) (2022)
- [Strategic Classification under Unknown Personalized Manipulation](https://mlsanity.com/paper/2305.16501/) (2023)
- [Learning Losses for Strategic Classification](https://mlsanity.com/paper/2203.13421/) (2022)
- [Strategic Ranking](https://mlsanity.com/paper/2109.08240/) (2021)
- [Conformalized Fairness via Quantile Regression](https://mlsanity.com/paper/2210.02015/) (2022)
- [What-is and How-to for Fairness in Machine Learning: A Survey, Reflection, and Perspective](https://mlsanity.com/paper/2206.04101/) (2022)
- [Fundamental Bounds on Online Strategic Classification](https://mlsanity.com/paper/2302.12355/) (2023)
- [Fine-Tuning Games: Bargaining and Adaptation for General-Purpose Models](https://mlsanity.com/paper/2308.04399/) (2023)
- [Learnability Gaps of Strategic Classification](https://mlsanity.com/paper/2402.19303/) (2024)
- [Adversarial Robustness for Tabular Data through Cost and Utility Awareness](https://mlsanity.com/paper/2208.13058/) (2022)
- [Survey on Fair Reinforcement Learning: Theory and Practice](https://mlsanity.com/paper/2205.10032/) (2022)
- [Strategic Classification with Graph Neural Networks](https://mlsanity.com/paper/2205.15765/) (2022)
- [Policy Optimization with Advantage Regularization for Long-Term Fairness in Decision Systems](https://mlsanity.com/paper/2210.12546/) (2022)
- [Performative Federated Learning: A Solution to Model-Dependent and Heterogeneous Distribution Shifts](https://mlsanity.com/paper/2305.05090/) (2023)
- [A Classification of Feedback Loops and Their Relation to Biases in Automated Decision-Making Systems](https://mlsanity.com/paper/2305.06055/) (2023)
- [One-Shot Strategic Classification Under Unknown Costs](https://mlsanity.com/paper/2311.02761/) (2023)
- [Bayesian Strategic Classification](https://mlsanity.com/paper/2402.08758/) (2024)
- [Non-linear Welfare-Aware Strategic Learning](https://mlsanity.com/paper/2405.01810/) (2024)
- [Approximate Regions of Attraction in Learning with Decision-Dependent Distributions](https://mlsanity.com/paper/2107.00055/) (2021)
- [Addressing Polarization and Unfairness in Performative Prediction](https://mlsanity.com/paper/2406.16756/) (2024)

## Abstract (arXiv)

Consequential decision-making typically incentivizes individuals to behave strategically, tailoring their behavior to the specifics of the decision rule. A long line of work has therefore sought to counteract strategic behavior by designing more conservative decision boundaries in an effort to increase robustness to the effects of strategic covariate shift. We show that these efforts benefit the institutional decision maker at the expense of the individuals being classified. Introducing a notion of social burden, we prove that any increase in institutional utility necessarily leads to a corresponding increase in social burden. Moreover, we show that the negative externalities of strategic classification can disproportionately harm disadvantaged groups in the population. Our results highlight that strategy-robustness must be weighed against considerations of social welfare and fairness.