NBCG: Nash-Bargained Causal Game for Long-Tailed Multi-Label NLP

Long-tailed multi-label text classification is often treated as a data scarcity problem, addressed by re-sampling or fixed re-weighting. We argue that a central failure mode is \textit{dominant coalition capture}: frequent labels, amplified by spurious co-occurrences, form dominant coalitions that dominate shared representations and gradient allocation during optimization. As a result, rare labels are learned via superficial shortcuts, yielding brittle generalization under distribution shifts. We propose \textbf{NBCG}, a Nash-Bargained Causal Game that reformulates multi-label learning as a cooperative bargaining process among label coalitions. NBCG first leverages Neural Structural Equation Models to learn a directed dependency structure, inducing causally coherent coalitions---rather than random partitions---and coalition-specific communication masks. We then optimize a Nash bargaining objective over coalition utilities relative to an adaptive disagreement point, which serves as a principled credit-allocation mechanism: it adaptively prioritizes under-served coalitions while maintaining a Pareto-efficient trade-off among all players.