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Beyond Sentiment Classification: A Generative Framework for Emotion Intensity Evaluation in Text

Author

Listed:
  • Francesco A. Fabozzi
  • Dasol Kim
  • William N. Goetzmann

Abstract

We introduce a novel approach to emotion modeling that shifts the focus from identification to evaluation, addressing the limitations of discrete classification in applied domains such as finance. By constructing a dataset of emotional intensity scores and fine-tuning open-weight generative language models to output continuous values from 0-100, we demonstrate a more expressive, generalizable framework for sentiment and emotion analysis. Our findings not only outperform classification baselines but also reveal surprising generalization capabilities and transfer effects to related constructs such as sentiment and arousal. This work contributes to the interdisciplinary recontextualization of NLP by introducing emotion intensity evaluation as an alternative to classification, arguing that this shift better aligns with the needs of domains--such as finance--where the degree of emotional content is central to interpretation and decision-making.

Suggested Citation

  • Francesco A. Fabozzi & Dasol Kim & William N. Goetzmann, 2026. "Beyond Sentiment Classification: A Generative Framework for Emotion Intensity Evaluation in Text," Papers 2605.16613, arXiv.org.
  • Handle: RePEc:arx:papers:2605.16613
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    File URL: https://arxiv.org/pdf/2605.16613
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    References listed on IDEAS

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    1. Jiancheng Shen & John Griffith & Mohammad Najand & Licheng Sun, 2023. "Predicting Stock and Bond Market Returns with Emotions: Evidence from Futures Markets," Journal of Behavioral Finance, Taylor & Francis Journals, vol. 24(3), pages 333-344, July.
    2. William N. Goetzmann & Dasol Kim & Robert J. Shiller, 2024. "Emotions and Subjective Crash Beliefs," NBER Working Papers 32589, National Bureau of Economic Research, Inc.
    3. John Griffith & Mohammad Najand & Jiancheng Shen, 2020. "Emotions in the Stock Market," Journal of Behavioral Finance, Taylor & Francis Journals, vol. 21(1), pages 42-56, January.
    4. Adriana Breaban & Charles N Noussair, 2018. "Emotional State and Market Behavior [Bubbling with excitement: en experiment]," Review of Finance, European Finance Association, vol. 22(1), pages 279-309.
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