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This study introduces a novel two-stage causal discovery method for categorical data, enabling identification of causal direction by mapping causes to a hidden variable. The approach effectively recovers causal mechanisms and validates on synthetic and real-world datasets.

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Area of Science:

  • Causal inference
  • Machine learning
  • Statistical modeling

Background:

  • Causal discovery is crucial across disciplines but challenging for categorical data.
  • Existing methods for continuous variables struggle with compact causal mechanism descriptions for categorical data.

Purpose of the Study:

  • To develop an effective causal discovery method for categorical data.
  • To address the challenge of finding compact causal mechanisms in categorical causal discovery.

Main Methods:

  • Proposing a two-stage causal process: cause to hidden variable (lower cardinality), then hidden variable to effect.
  • Utilizing a likelihood framework to recover the hidden compact representation.
  • Demonstrating identifiability of causal direction under weak conditions.

Main Results:

  • The proposed two-stage model allows for a simple and compact representation of causal mechanisms.
  • Causal direction is identifiable under specific, weak conditions.
  • Empirical studies confirm the method's effectiveness on both synthetic and real-world data.

Conclusions:

  • The novel two-stage approach provides an effective solution for causal discovery with categorical data.
  • The method successfully identifies causal direction and recovers underlying mechanisms.
  • This work advances causal inference techniques for discrete variables.