Agentic Search for Counterfactual Recourse under Fixed LLM Budgets

Abstract

Counterfactual recourse aims to provide actionable feature changes that would alter an unfavorable decision made by a predictive model. In practice, affected individuals often benefit from multiple feasible alternatives rather than a single optimal explanation. A natural way to produce such alternatives is to prompt large language models (LLMs). However, prompting incurs a practical constraint: the number of LLM calls is often the dominant computational and economic cost. Together, the need for multiple alternatives and this cost constraint shift the problem from finding a single high-quality counterfactual to efficiently generating a set of oracle-validated counterfactuals under a fixed LLM-call budget. In this work, we study counterfactual recourse generation in the LLM-agentic setting as a fixed-budget search problem and propose Comp-MCTS, an agentic tree-search framework that maximizes the yield of unique, oracle-validated counterfactuals under this budget while maintaining favorable quantity--quality trade-offs. Comp-MCTS allocates the budget toward novel intervention directions via LLM-based proposal generation, oracle validation, and compression-guided pruning, in a training-free, oracle-only setting. Experiments on four real-world tabular datasets show that Comp-MCTS substantially outperforms single-candidate LATS-style baselines in the yield of unique, oracle-validated counterfactuals, and offers favorable quantity--quality--efficiency trade-offs against stronger multi-candidate variants: comparable or higher yield at similar or lower oracle-evaluation cost on three of four datasets, plus competitive proximity, sparsity, and novelty.