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LLM Explainability with Counterfactual Chains and Causal Graphs

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While recent work often uses LLMs to extract causal graphs of the external world, we flip the approach: we use causal graphs to model LLM inference itself. This provides a transparent view of exactly how models perceive, organize, and connect high-level concepts to make a prediction.</p>\n<p>Our approach in brief:</p>\n<ul>\n<li>Concept Mapping: Discovers human-interpretable concepts and maps inputs to LLM-perceived concept states.</li>\n<li>MCMC-Inspired Augmentation: Generates chains of counterfactuals to expand sparse observational data.</li>\n<li>Causal Discovery: Runs σ-CG on this enriched data to yield stable, informative causal graphs.</li>\n</ul>\n<p>Does it work?<br>We evaluated this across 3 LLMs on three diverse tasks: disease diagnosis, sentiment analysis, and LLM-as-a-judge.</p>\n<ul>\n<li>The learned graphs showed high predictive fidelity and structural stability.</li>\n<li>They successfully capture meaningful dependencies that are actually consistent with the LLMs' internal reasoning.<br><a href=\"https://cdn-uploads.huggingface.co/production/uploads/62d6a0c18faee0ac953c51fa/WrG1AkTEmPinNAH270ZHz.png\" rel=\"nofollow\"><img src=\"https://cdn-uploads.huggingface.co/production/uploads/62d6a0c18faee0ac953c51fa/WrG1AkTEmPinNAH270ZHz.png\" alt=\"IMG_0038\"></a></li>\n</ul>\n","updatedAt":"2026-06-08T06:41:35.200Z","author":{"_id":"62d6a0c18faee0ac953c51fa","avatarUrl":"/avatars/ca818cebdb089a8d853c5bc4d5e0987b.svg","fullname":"Nitay Calderon","name":"nitay","type":"user","isPro":false,"isHf":false,"isHfAdmin":false,"isMod":false,"followerCount":3,"isUserFollowing":false}},"numEdits":1,"identifiedLanguage":{"language":"en","probability":0.9012912511825562},"editors":["nitay"],"editorAvatarUrls":["/avatars/ca818cebdb089a8d853c5bc4d5e0987b.svg"],"reactions":[],"isReport":false}}],"primaryEmailConfirmed":false,"paper":{"id":"2606.05972","authors":[{"_id":"6a25b8b3e4c258a029491ed0","name":"Nirit Nussbaum-Hoffer","hidden":false},{"_id":"6a25b8b3e4c258a029491ed1","name":"Nitay Calderon","hidden":false},{"_id":"6a25b8b3e4c258a029491ed2","name":"Liat Ein-Dor","hidden":false},{"_id":"6a25b8b3e4c258a029491ed3","name":"Roi Reichart","hidden":false}],"publishedAt":"2026-06-04T00:00:00.000Z","submittedOnDailyAt":"2026-06-08T00:00:00.000Z","title":"LLM Explainability with Counterfactual Chains and Causal Graphs","submittedOnDailyBy":{"_id":"62d6a0c18faee0ac953c51fa","avatarUrl":"/avatars/ca818cebdb089a8d853c5bc4d5e0987b.svg","isPro":false,"fullname":"Nitay Calderon","user":"nitay","type":"user","name":"nitay"},"summary":"Causal graphs provide a high-level language for making mechanisms transparent. Recent work uses Large Language Models (LLMs) to recover causal graphs of external-world processes. Instead, in this paper, we use causal graphs to model LLM inference itself, providing stakeholders with a transparent view of how the model perceives and organizes high-level concepts to produce a prediction. We propose a four-phase method for constructing such graphs. Given a target LLM and a set of textual examples, our method discovers class-discriminative, human-interpretable concepts and maps each input to LLM-perceived concept states. We then introduce an MCMC-inspired counterfactual augmentation procedure that expands the sparse observational data through chains of counterfactuals. This enables stable causal discovery with σ-CG, yielding informative, interpretable graphs. We apply our method to three LLMs across disease diagnosis, sentiment analysis, and LLM-as-a-judge classification tasks. We evaluate the learned graphs for predictive fidelity and structural stability, and the MCMC-inspired augmentation for convergence and downstream utility. Our results show that the discovered causal graphs capture meaningful dependencies consistent with LLMs' reasoning. 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Papers
arxiv:2606.05972

LLM Explainability with Counterfactual Chains and Causal Graphs

Published on Jun 4
· Submitted by
Nitay Calderon
on Jun 8
Authors:
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Abstract

Causal graphs are used to model large language model inference processes, enabling transparent visualization of how models perceive and organize high-level concepts for predictions through a four-phase method involving concept discovery, mapping, and MCMC-inspired counterfactual augmentation.

Causal graphs provide a high-level language for making mechanisms transparent. Recent work uses Large Language Models (LLMs) to recover causal graphs of external-world processes. Instead, in this paper, we use causal graphs to model LLM inference itself, providing stakeholders with a transparent view of how the model perceives and organizes high-level concepts to produce a prediction. We propose a four-phase method for constructing such graphs. Given a target LLM and a set of textual examples, our method discovers class-discriminative, human-interpretable concepts and maps each input to LLM-perceived concept states. We then introduce an MCMC-inspired counterfactual augmentation procedure that expands the sparse observational data through chains of counterfactuals. This enables stable causal discovery with σ-CG, yielding informative, interpretable graphs. We apply our method to three LLMs across disease diagnosis, sentiment analysis, and LLM-as-a-judge classification tasks. We evaluate the learned graphs for predictive fidelity and structural stability, and the MCMC-inspired augmentation for convergence and downstream utility. Our results show that the discovered causal graphs capture meaningful dependencies consistent with LLMs' reasoning. Together, this paper provides a foundation for concept-level explainability of LLMs.

Community

While recent work often uses LLMs to extract causal graphs of the external world, we flip the approach: we use causal graphs to model LLM inference itself. This provides a transparent view of exactly how models perceive, organize, and connect high-level concepts to make a prediction.

Our approach in brief:

  • Concept Mapping: Discovers human-interpretable concepts and maps inputs to LLM-perceived concept states.
  • MCMC-Inspired Augmentation: Generates chains of counterfactuals to expand sparse observational data.
  • Causal Discovery: Runs σ-CG on this enriched data to yield stable, informative causal graphs.

Does it work?
We evaluated this across 3 LLMs on three diverse tasks: disease diagnosis, sentiment analysis, and LLM-as-a-judge.

  • The learned graphs showed high predictive fidelity and structural stability.
  • They successfully capture meaningful dependencies that are actually consistent with the LLMs' internal reasoning.
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