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Calibration and Risk-Budgeted Decisions with System One Models

Abstract

LLM workflows and agents rely on a set of binary decisions like allow/block an input, or discard/retain a retrieved document. When human deferral is unavailable, uncertain cases must still receive an action. We study System One decision scores in this setting by defaulting to a conservative fallback when uncertain, and controlling the false omission risk within the subset of inputs assigned the utility-maximizing action. Across six datasets covering moderation, safety, and reranking, we compare general System One models with task baselines and a local open-weights fine-tuned System One model. We show that naive baselines for threshold selection exceed the target risk in roughly half of settings with defined test risk, compared with 7.8\% for Learn Then Test (LTT), which leverages finite-sample statistical guarantees. Our results show why relying on a probability-like interface is insufficient for deployment decisions and how risk-budgeted selection trades useful action against observed error.

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BibTeX
@misc{messoudi2026calibration,
  title = {{Calibration and Risk-Budgeted Decisions with System One Models}},
  author = {Soundouss Messoudi and Youness Mansar},
  howpublished = {arXiv},
  year = {2026},
  month = oct,
  doi = {10.48550/arxiv.2610.19811},
  eprint = {2610.19811},
  archivePrefix = {arXiv},
  url = {https://arxiv.org/abs/2610.19811},
}
RIS
TY  - UNPB
TI  - Calibration and Risk-Budgeted Decisions with System One Models
AU  - Soundouss Messoudi
AU  - Youness Mansar
PY  - 2026
DA  - 2026/10/14
PB  - arXiv
DO  - 10.48550/arxiv.2610.19811
UR  - https://arxiv.org/abs/2610.19811
AB  - LLM workflows and agents rely on a set of binary decisions like allow/block an input, or discard/retain a retrieved document. When human deferral is unavailable, uncertain cases must still receive an action. We study System One decision scores in this setting by defaulting to a conservative fallback when uncertain, and controlling the false omission risk within the subset of inputs assigned the utility-maximizing action. Across six datasets covering moderation, safety, and reranking, we compare general System One models with task baselines and a local open-weights fine-tuned System One model. We show that naive baselines for threshold selection exceed the target risk in roughly half of settings with defined test risk, compared with 7.8\% for Learn Then Test (LTT), which leverages finite-sample statistical guarantees. Our results show why relying on a probability-like interface is insufficient for deployment decisions and how risk-budgeted selection trades useful action against observed error.
ER  -