Extracting sentiments from unstructured text has emerged as an important problem in many disciplines. An accurate method would enable us, for example, to mine on-line opinions from the Internet and learn customers' preferences for economic or marketing research, or for leveraging a strategic advantage.

In this paper, we propose a two-stage Bayesian algorithm that is able to capture the dependencies among words, and, at the same time, finds a vocabulary that is efficient for the purpose of extracting sentiments. Experimental results on the Movie Reviews data set show that our algorithm is able to select a parsimonious feature set with substantially fewer predictor variables than in the full data set and leads to better predictions about sentiment orientations than several state-of-the-art machine learning methods.

Our findings suggest that sentiments are captured by conditional dependence relations among words, rather than by keywords or high-frequency words.

13 pages

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