Testing for bias · Question 43 of 60
A credit model is to be checked for bias. The team generates applications that are identical except for gender and finds over many tests that the decisions differ significantly. Which statements are correct?
2 answers are correct. Hard
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Answer
- C The result indicates bias in the model
- D The approach corresponds to disparate impact analysis with counterfactuals
Explanation
In disparate impact analysis, sensitive attributes are identified, counterfactuals are generated, for example with a changed gender, and the model outputs are analyzed statistically over many tests. If changing the sensitive attribute changes the result significantly this signals bias.