The Find-S algorithm finds the most specific hypothesis that is consistent with positive training examples by starting with the most specific hypothesis and gradually generalizing it only as far as needed to be consistent with each new positive example seen. The final hypothesis output by Find-S will be the most specific hypothesis within the hypothesis space that is consistent with all positive examples, and also consistent with negative examples if the target concept is representable. Consistency means the hypothesis agrees with all training examples - it outputs the correct label for each example.