Model Evaluation & Metrics

Regression Metrics

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MSE (Mean Squared Error) = mean((y_true - y_pred)²)

  • Penalizes large errors more
  • Sensitive to outliers

MAE (Mean Absolute Error) = mean(|y_true - y_pred|)

  • Robust to outliers
  • Linear penalty

R² (R-squared) = 1 - (SS_res / SS_tot)

  • Proportion of variance explained
  • Range: (-∞, 1], 1 is perfect

Interview Q: "Predict house prices with outliers - MSE or MAE?" A: MAE (robust to outliers like mansions)

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Quiz

Module 4: Model Evaluation & Metrics

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