Judging a model’s response is a decision problem over four possible outcomes. A correct answer creates value, an incorrect answer can cause harm, an appropriate refusal avoids that harm, and an unnecessary refusal requires further processing.
Immediate response utility
- Correct answer
- +1
- Incorrect answer
- −
- Appropriate refusal
- +1
- Unnecessary refusal
- 0
An incorrect answer incurs its sample-specific consequence cost , allowing errors with different consequences to yield different utility even at the same accuracy.
A refusal on an answerable query avoids the potential loss of an incorrect answer, but provides no useful answer to the user. It therefore receives neither a reward nor a penalty at this stage. We denote the immediate utility by .
A shared follow-up budget
Although an unnecessary refusal causes no direct harm, it leaves an answerable request unresolved. The user may still need the information and seek help from customer support or another system. Handling these requests consumes additional resources, and the available processing capacity is limited.
We represent this capacity by a shared budget . Each unnecessary refusal creates one unresolved answerable request and consumes one unit of the budget. We maximize total expected immediate utility subject to this capacity limit.
Let equal 1 exactly when an answerable query is refused, and 0 otherwise. With denoting the probability of action (answer or refuse) on sample , the expected number of unnecessary refusals is constrained by:
One constant shadow price
Linear-programming strong duality gives a dual minimization over a nonnegative multiplier. For a fixed value of ≥ 0, the inner maximization is a penalized welfare problem with per-response utility:
The penalty changes the unnecessary-refusal branch from 0 to − and preserves the other three branches. Because the primal contains one unweighted budget, the Lagrangian introduces one scalar multiplier and applies it uniformly to every unnecessary refusal.
Let denote the optimal welfare under this budget. At a dual optimum, is the shadow price of the shared budget. A positive optimal price requires the budget to be exhausted. It is a supergradient of the budget–welfare value function; when that function is differentiable:
The price is therefore the marginal welfare gained by allowing one additional unnecessary refusal.
An evaluation hyperparameter
In the benchmark, we fix directly as an evaluation hyperparameter. Fixing this value selects the corresponding point on the budget–welfare frontier. We use = 2 as the primary setting, and evaluate sensitivity over 0 ≤ ≤ 64 while keeping model responses fixed.