SlideShare a Scribd company logo
TABLE OF CONTENTS
Introduction to Logistic Regression
Understanding Regression
Need for Logistic Regression
The Mathematics
Example of Logistic Regression
Recap of Loss Function
Loss Function in Logistic Regression
Achieving Classification from Regression
Advantages and Disadvantages of Logistic Regression
Real World Examples of Logistic Regression
1. It is an example of supervised learning algorithm.
2. It has the unique property of working as a
‘Regression’ as well as a ‘Classification’ algorithm.
3. It is used to predict data sets with or situations
which involve calculation of probabilities.
4. It is used for general binary classification.
INTRODUCTION TO LOGISTIC REGRESSION
LOGISTIC ‘REGRESSION’
Why is it called Logistic ‘REGRESSION’ ?
a technique for investigating the relationship
between independent variables or features
and a dependent variable or outcome
UNDERSTANDING REGRESSION WITH INSECT CHIRPING
Linear Regression
This is an ideal situation for a
Linear Regression Model.
WHEN LINEAR REGRESSION IS NOT ENOUGH
A Dataset not suited to
Linear Regression.
Attempting to solve
via Linear Regression.
WHY LOGISTIC REGRESSION?
1. This is a curve that fits the
given data more accurately.
2. There are a few things to
note here which differ from
Linear Regression Data –
a) The range of the data is
in between 0 and 1.
b) All labels are either 0 or
(TRUE or FALSE)
3. This is very similar to a
Probabilistic Approach with
binary outcomes.
The Math - Sigmoid Function (The Logistic Function)
1. A sigmoid function is a bounded, differentiable, real function that is
defined for all real input values and has a non-negative derivative at each
point and exactly one inflection point. A sigmoid "function" and a sigmoid
"curve" refer to the same object.
a) bounded – implies the value is bound from 0 to 1 or any other ‘x to y’
b) differentiable – it is continuous throughout.
c) non-negative derivative – function is only increasing ( as slope always
positive)
d) one inflection point – there exists only one point post which the graph
shows rapid increase
Note that z is also referred to as the log-odds because the inverse of
the sigmoid states that z can be defined as the log of the probability of
the 1 label (e.g., "dog barks") divided by the probability of the 0 label
(e.g., "dog doesn't bark"):
WHY THE SIGMOID FUNCTION?
1. Coming back to the original
problem, a model was required to
help predict a dataset that could
not be fit into Linear Regression.
2. Seeing the data; we require a
bounded model whose values
should lie between 0 and 1 only.
USING THE SIGMOID FN FOR LOGISTIC
REGRESSION
EXAMPLE OF LOGISTIC REGRESSION
RECAP OF LOSS FUNCTIONS
The Arrows represent the Respective Losses.
HIGH LOSS LOW LOSS
The commonly used Loss Function for Linear
Regression is the Mean Squared Loss Function.
LOSS FUNCTION IN LOGISTIC REGRESSION
The loss function of Logistic Regression is known
as the LOG LOSS
HOW TO CLASSIFY FROM REGRESSION?
To convert the regression output into a Classification Output,
we must define a Classification Threshold. If one half of the
regression output is one class, this is the value beyond which
the other class starts.
ADVANTAGES VS DISADVANTAGES
REAL WORLD EXAMPLES
The First Tennessee Bank in assosciation with IBM’s SPSS
(Statistical Package for the Social Sciences), also known as
IBM SPSS Statistics achieved increases upto 600% in cross-sale
campaigns using strategies developed through Logistic
Regression Models.
REAL WORLD EXAMPLES
Multiple models have been developed for Heart Disease
Prediction Using Logistic Regression. This is seen as a
simple classification problem of whether a person is more
prone to having a heart disease based on the medical
records (which are excellent datasets).
REAL WORLD EXAMPLES
Fraud detection: Logistic regression models can help teams
identify data anomalies, which are predictive of fraud.
Certain behaviors or characteristics may have a higher
association with fraudulent activities, which is particularly
helpful to banking and other financial institutions in
protecting their clients.

More Related Content

Similar to Logistic Regression.pptx

Machine Learning
Machine LearningMachine Learning
Machine Learning
Jean-Luc Caut
 
Machine Learning.pdf
Machine Learning.pdfMachine Learning.pdf
Machine Learning.pdf
University of Sindh
 
Logistic Regression Classifier - Conceptual Guide
Logistic Regression Classifier - Conceptual GuideLogistic Regression Classifier - Conceptual Guide
Logistic Regression Classifier - Conceptual Guide
Caglar Subasi
 
Machine Learning Interview Question and Answer
Machine Learning Interview Question and AnswerMachine Learning Interview Question and Answer
Machine Learning Interview Question and Answer
Learnbay Datascience
 
Logistic Regression.pptx
Logistic Regression.pptxLogistic Regression.pptx
Logistic Regression.pptx
ssuser2624f71
 
CSE357 fa21 (6) Linear Machine Learning11-11.pdf
CSE357 fa21 (6) Linear Machine Learning11-11.pdfCSE357 fa21 (6) Linear Machine Learning11-11.pdf
CSE357 fa21 (6) Linear Machine Learning11-11.pdf
NermeenKamel7
 
Machine learning in credit risk modeling : a James white paper
Machine learning in credit risk modeling : a James white paperMachine learning in credit risk modeling : a James white paper
Machine learning in credit risk modeling : a James white paper
James by CrowdProcess
 
ML Study Jams - Session 3.pptx
ML Study Jams - Session 3.pptxML Study Jams - Session 3.pptx
ML Study Jams - Session 3.pptx
MayankChadha14
 
MF Presentation.pptx
MF Presentation.pptxMF Presentation.pptx
MF Presentation.pptx
HarshitSingh334328
 
Poster
PosterPoster
Poster
fan yang
 
Explore ml day 2
Explore ml day 2Explore ml day 2
Explore ml day 2
preetikumara
 
4. OPTIMIZATION NN AND FL.pptx
4. OPTIMIZATION NN AND FL.pptx4. OPTIMIZATION NN AND FL.pptx
4. OPTIMIZATION NN AND FL.pptx
kumarkaushal17
 
Chapter 18,19
Chapter 18,19Chapter 18,19
Chapter 18,19
heba_ahmad
 
Predicting Employee Attrition
Predicting Employee AttritionPredicting Employee Attrition
Predicting Employee Attrition
Shruti Mohan
 
Machine-Learning-with-Ridge-and-Lasso-Regression.pdf
Machine-Learning-with-Ridge-and-Lasso-Regression.pdfMachine-Learning-with-Ridge-and-Lasso-Regression.pdf
Machine-Learning-with-Ridge-and-Lasso-Regression.pdf
AyadIliass
 
Business Analytics Foundation with R tools - Part 2
Business Analytics Foundation with R tools - Part 2Business Analytics Foundation with R tools - Part 2
Business Analytics Foundation with R tools - Part 2
Beamsync
 
Linear models for data science
Linear models for data scienceLinear models for data science
Linear models for data science
Brad Klingenberg
 
Regression ppt.pptx
Regression ppt.pptxRegression ppt.pptx
Regression ppt.pptx
DevendraSinghKaushal1
 
Lecture 3.1_ Logistic Regression.pptx
Lecture 3.1_ Logistic Regression.pptxLecture 3.1_ Logistic Regression.pptx
Lecture 3.1_ Logistic Regression.pptx
ajondaree
 
Logistic Regression in machine learning.docx
Logistic Regression in machine learning.docxLogistic Regression in machine learning.docx
Logistic Regression in machine learning.docx
AbhaBansal8
 

Similar to Logistic Regression.pptx (20)

Machine Learning
Machine LearningMachine Learning
Machine Learning
 
Machine Learning.pdf
Machine Learning.pdfMachine Learning.pdf
Machine Learning.pdf
 
Logistic Regression Classifier - Conceptual Guide
Logistic Regression Classifier - Conceptual GuideLogistic Regression Classifier - Conceptual Guide
Logistic Regression Classifier - Conceptual Guide
 
Machine Learning Interview Question and Answer
Machine Learning Interview Question and AnswerMachine Learning Interview Question and Answer
Machine Learning Interview Question and Answer
 
Logistic Regression.pptx
Logistic Regression.pptxLogistic Regression.pptx
Logistic Regression.pptx
 
CSE357 fa21 (6) Linear Machine Learning11-11.pdf
CSE357 fa21 (6) Linear Machine Learning11-11.pdfCSE357 fa21 (6) Linear Machine Learning11-11.pdf
CSE357 fa21 (6) Linear Machine Learning11-11.pdf
 
Machine learning in credit risk modeling : a James white paper
Machine learning in credit risk modeling : a James white paperMachine learning in credit risk modeling : a James white paper
Machine learning in credit risk modeling : a James white paper
 
ML Study Jams - Session 3.pptx
ML Study Jams - Session 3.pptxML Study Jams - Session 3.pptx
ML Study Jams - Session 3.pptx
 
MF Presentation.pptx
MF Presentation.pptxMF Presentation.pptx
MF Presentation.pptx
 
Poster
PosterPoster
Poster
 
Explore ml day 2
Explore ml day 2Explore ml day 2
Explore ml day 2
 
4. OPTIMIZATION NN AND FL.pptx
4. OPTIMIZATION NN AND FL.pptx4. OPTIMIZATION NN AND FL.pptx
4. OPTIMIZATION NN AND FL.pptx
 
Chapter 18,19
Chapter 18,19Chapter 18,19
Chapter 18,19
 
Predicting Employee Attrition
Predicting Employee AttritionPredicting Employee Attrition
Predicting Employee Attrition
 
Machine-Learning-with-Ridge-and-Lasso-Regression.pdf
Machine-Learning-with-Ridge-and-Lasso-Regression.pdfMachine-Learning-with-Ridge-and-Lasso-Regression.pdf
Machine-Learning-with-Ridge-and-Lasso-Regression.pdf
 
Business Analytics Foundation with R tools - Part 2
Business Analytics Foundation with R tools - Part 2Business Analytics Foundation with R tools - Part 2
Business Analytics Foundation with R tools - Part 2
 
Linear models for data science
Linear models for data scienceLinear models for data science
Linear models for data science
 
Regression ppt.pptx
Regression ppt.pptxRegression ppt.pptx
Regression ppt.pptx
 
Lecture 3.1_ Logistic Regression.pptx
Lecture 3.1_ Logistic Regression.pptxLecture 3.1_ Logistic Regression.pptx
Lecture 3.1_ Logistic Regression.pptx
 
Logistic Regression in machine learning.docx
Logistic Regression in machine learning.docxLogistic Regression in machine learning.docx
Logistic Regression in machine learning.docx
 

Recently uploaded

Recycled Concrete Aggregate in Construction Part III
Recycled Concrete Aggregate in Construction Part IIIRecycled Concrete Aggregate in Construction Part III
Recycled Concrete Aggregate in Construction Part III
Aditya Rajan Patra
 
ACEP Magazine edition 4th launched on 05.06.2024
ACEP Magazine edition 4th launched on 05.06.2024ACEP Magazine edition 4th launched on 05.06.2024
ACEP Magazine edition 4th launched on 05.06.2024
Rahul
 
132/33KV substation case study Presentation
132/33KV substation case study Presentation132/33KV substation case study Presentation
132/33KV substation case study Presentation
kandramariana6
 
Electric vehicle and photovoltaic advanced roles in enhancing the financial p...
Electric vehicle and photovoltaic advanced roles in enhancing the financial p...Electric vehicle and photovoltaic advanced roles in enhancing the financial p...
Electric vehicle and photovoltaic advanced roles in enhancing the financial p...
IJECEIAES
 
The Python for beginners. This is an advance computer language.
The Python for beginners. This is an advance computer language.The Python for beginners. This is an advance computer language.
The Python for beginners. This is an advance computer language.
sachin chaurasia
 
BPV-GUI-01-Guide-for-ASME-Review-Teams-(General)-10-10-2023.pdf
BPV-GUI-01-Guide-for-ASME-Review-Teams-(General)-10-10-2023.pdfBPV-GUI-01-Guide-for-ASME-Review-Teams-(General)-10-10-2023.pdf
BPV-GUI-01-Guide-for-ASME-Review-Teams-(General)-10-10-2023.pdf
MIGUELANGEL966976
 
DEEP LEARNING FOR SMART GRID INTRUSION DETECTION: A HYBRID CNN-LSTM-BASED MODEL
DEEP LEARNING FOR SMART GRID INTRUSION DETECTION: A HYBRID CNN-LSTM-BASED MODELDEEP LEARNING FOR SMART GRID INTRUSION DETECTION: A HYBRID CNN-LSTM-BASED MODEL
DEEP LEARNING FOR SMART GRID INTRUSION DETECTION: A HYBRID CNN-LSTM-BASED MODEL
gerogepatton
 
Generative AI leverages algorithms to create various forms of content
Generative AI leverages algorithms to create various forms of contentGenerative AI leverages algorithms to create various forms of content
Generative AI leverages algorithms to create various forms of content
Hitesh Mohapatra
 
TIME DIVISION MULTIPLEXING TECHNIQUE FOR COMMUNICATION SYSTEM
TIME DIVISION MULTIPLEXING TECHNIQUE FOR COMMUNICATION SYSTEMTIME DIVISION MULTIPLEXING TECHNIQUE FOR COMMUNICATION SYSTEM
TIME DIVISION MULTIPLEXING TECHNIQUE FOR COMMUNICATION SYSTEM
HODECEDSIET
 
Textile Chemical Processing and Dyeing.pdf
Textile Chemical Processing and Dyeing.pdfTextile Chemical Processing and Dyeing.pdf
Textile Chemical Processing and Dyeing.pdf
NazakatAliKhoso2
 
CHINA’S GEO-ECONOMIC OUTREACH IN CENTRAL ASIAN COUNTRIES AND FUTURE PROSPECT
CHINA’S GEO-ECONOMIC OUTREACH IN CENTRAL ASIAN COUNTRIES AND FUTURE PROSPECTCHINA’S GEO-ECONOMIC OUTREACH IN CENTRAL ASIAN COUNTRIES AND FUTURE PROSPECT
CHINA’S GEO-ECONOMIC OUTREACH IN CENTRAL ASIAN COUNTRIES AND FUTURE PROSPECT
jpsjournal1
 
KuberTENes Birthday Bash Guadalajara - K8sGPT first impressions
KuberTENes Birthday Bash Guadalajara - K8sGPT first impressionsKuberTENes Birthday Bash Guadalajara - K8sGPT first impressions
KuberTENes Birthday Bash Guadalajara - K8sGPT first impressions
Victor Morales
 
Literature Review Basics and Understanding Reference Management.pptx
Literature Review Basics and Understanding Reference Management.pptxLiterature Review Basics and Understanding Reference Management.pptx
Literature Review Basics and Understanding Reference Management.pptx
Dr Ramhari Poudyal
 
Iron and Steel Technology Roadmap - Towards more sustainable steelmaking.pdf
Iron and Steel Technology Roadmap - Towards more sustainable steelmaking.pdfIron and Steel Technology Roadmap - Towards more sustainable steelmaking.pdf
Iron and Steel Technology Roadmap - Towards more sustainable steelmaking.pdf
RadiNasr
 
Modelagem de um CSTR com reação endotermica.pdf
Modelagem de um CSTR com reação endotermica.pdfModelagem de um CSTR com reação endotermica.pdf
Modelagem de um CSTR com reação endotermica.pdf
camseq
 
A SYSTEMATIC RISK ASSESSMENT APPROACH FOR SECURING THE SMART IRRIGATION SYSTEMS
A SYSTEMATIC RISK ASSESSMENT APPROACH FOR SECURING THE SMART IRRIGATION SYSTEMSA SYSTEMATIC RISK ASSESSMENT APPROACH FOR SECURING THE SMART IRRIGATION SYSTEMS
A SYSTEMATIC RISK ASSESSMENT APPROACH FOR SECURING THE SMART IRRIGATION SYSTEMS
IJNSA Journal
 
Comparative analysis between traditional aquaponics and reconstructed aquapon...
Comparative analysis between traditional aquaponics and reconstructed aquapon...Comparative analysis between traditional aquaponics and reconstructed aquapon...
Comparative analysis between traditional aquaponics and reconstructed aquapon...
bijceesjournal
 
ML Based Model for NIDS MSc Updated Presentation.v2.pptx
ML Based Model for NIDS MSc Updated Presentation.v2.pptxML Based Model for NIDS MSc Updated Presentation.v2.pptx
ML Based Model for NIDS MSc Updated Presentation.v2.pptx
JamalHussainArman
 
Understanding Inductive Bias in Machine Learning
Understanding Inductive Bias in Machine LearningUnderstanding Inductive Bias in Machine Learning
Understanding Inductive Bias in Machine Learning
SUTEJAS
 
22CYT12-Unit-V-E Waste and its Management.ppt
22CYT12-Unit-V-E Waste and its Management.ppt22CYT12-Unit-V-E Waste and its Management.ppt
22CYT12-Unit-V-E Waste and its Management.ppt
KrishnaveniKrishnara1
 

Recently uploaded (20)

Recycled Concrete Aggregate in Construction Part III
Recycled Concrete Aggregate in Construction Part IIIRecycled Concrete Aggregate in Construction Part III
Recycled Concrete Aggregate in Construction Part III
 
ACEP Magazine edition 4th launched on 05.06.2024
ACEP Magazine edition 4th launched on 05.06.2024ACEP Magazine edition 4th launched on 05.06.2024
ACEP Magazine edition 4th launched on 05.06.2024
 
132/33KV substation case study Presentation
132/33KV substation case study Presentation132/33KV substation case study Presentation
132/33KV substation case study Presentation
 
Electric vehicle and photovoltaic advanced roles in enhancing the financial p...
Electric vehicle and photovoltaic advanced roles in enhancing the financial p...Electric vehicle and photovoltaic advanced roles in enhancing the financial p...
Electric vehicle and photovoltaic advanced roles in enhancing the financial p...
 
The Python for beginners. This is an advance computer language.
The Python for beginners. This is an advance computer language.The Python for beginners. This is an advance computer language.
The Python for beginners. This is an advance computer language.
 
BPV-GUI-01-Guide-for-ASME-Review-Teams-(General)-10-10-2023.pdf
BPV-GUI-01-Guide-for-ASME-Review-Teams-(General)-10-10-2023.pdfBPV-GUI-01-Guide-for-ASME-Review-Teams-(General)-10-10-2023.pdf
BPV-GUI-01-Guide-for-ASME-Review-Teams-(General)-10-10-2023.pdf
 
DEEP LEARNING FOR SMART GRID INTRUSION DETECTION: A HYBRID CNN-LSTM-BASED MODEL
DEEP LEARNING FOR SMART GRID INTRUSION DETECTION: A HYBRID CNN-LSTM-BASED MODELDEEP LEARNING FOR SMART GRID INTRUSION DETECTION: A HYBRID CNN-LSTM-BASED MODEL
DEEP LEARNING FOR SMART GRID INTRUSION DETECTION: A HYBRID CNN-LSTM-BASED MODEL
 
Generative AI leverages algorithms to create various forms of content
Generative AI leverages algorithms to create various forms of contentGenerative AI leverages algorithms to create various forms of content
Generative AI leverages algorithms to create various forms of content
 
TIME DIVISION MULTIPLEXING TECHNIQUE FOR COMMUNICATION SYSTEM
TIME DIVISION MULTIPLEXING TECHNIQUE FOR COMMUNICATION SYSTEMTIME DIVISION MULTIPLEXING TECHNIQUE FOR COMMUNICATION SYSTEM
TIME DIVISION MULTIPLEXING TECHNIQUE FOR COMMUNICATION SYSTEM
 
Textile Chemical Processing and Dyeing.pdf
Textile Chemical Processing and Dyeing.pdfTextile Chemical Processing and Dyeing.pdf
Textile Chemical Processing and Dyeing.pdf
 
CHINA’S GEO-ECONOMIC OUTREACH IN CENTRAL ASIAN COUNTRIES AND FUTURE PROSPECT
CHINA’S GEO-ECONOMIC OUTREACH IN CENTRAL ASIAN COUNTRIES AND FUTURE PROSPECTCHINA’S GEO-ECONOMIC OUTREACH IN CENTRAL ASIAN COUNTRIES AND FUTURE PROSPECT
CHINA’S GEO-ECONOMIC OUTREACH IN CENTRAL ASIAN COUNTRIES AND FUTURE PROSPECT
 
KuberTENes Birthday Bash Guadalajara - K8sGPT first impressions
KuberTENes Birthday Bash Guadalajara - K8sGPT first impressionsKuberTENes Birthday Bash Guadalajara - K8sGPT first impressions
KuberTENes Birthday Bash Guadalajara - K8sGPT first impressions
 
Literature Review Basics and Understanding Reference Management.pptx
Literature Review Basics and Understanding Reference Management.pptxLiterature Review Basics and Understanding Reference Management.pptx
Literature Review Basics and Understanding Reference Management.pptx
 
Iron and Steel Technology Roadmap - Towards more sustainable steelmaking.pdf
Iron and Steel Technology Roadmap - Towards more sustainable steelmaking.pdfIron and Steel Technology Roadmap - Towards more sustainable steelmaking.pdf
Iron and Steel Technology Roadmap - Towards more sustainable steelmaking.pdf
 
Modelagem de um CSTR com reação endotermica.pdf
Modelagem de um CSTR com reação endotermica.pdfModelagem de um CSTR com reação endotermica.pdf
Modelagem de um CSTR com reação endotermica.pdf
 
A SYSTEMATIC RISK ASSESSMENT APPROACH FOR SECURING THE SMART IRRIGATION SYSTEMS
A SYSTEMATIC RISK ASSESSMENT APPROACH FOR SECURING THE SMART IRRIGATION SYSTEMSA SYSTEMATIC RISK ASSESSMENT APPROACH FOR SECURING THE SMART IRRIGATION SYSTEMS
A SYSTEMATIC RISK ASSESSMENT APPROACH FOR SECURING THE SMART IRRIGATION SYSTEMS
 
Comparative analysis between traditional aquaponics and reconstructed aquapon...
Comparative analysis between traditional aquaponics and reconstructed aquapon...Comparative analysis between traditional aquaponics and reconstructed aquapon...
Comparative analysis between traditional aquaponics and reconstructed aquapon...
 
ML Based Model for NIDS MSc Updated Presentation.v2.pptx
ML Based Model for NIDS MSc Updated Presentation.v2.pptxML Based Model for NIDS MSc Updated Presentation.v2.pptx
ML Based Model for NIDS MSc Updated Presentation.v2.pptx
 
Understanding Inductive Bias in Machine Learning
Understanding Inductive Bias in Machine LearningUnderstanding Inductive Bias in Machine Learning
Understanding Inductive Bias in Machine Learning
 
22CYT12-Unit-V-E Waste and its Management.ppt
22CYT12-Unit-V-E Waste and its Management.ppt22CYT12-Unit-V-E Waste and its Management.ppt
22CYT12-Unit-V-E Waste and its Management.ppt
 

Logistic Regression.pptx

  • 1.
  • 2. TABLE OF CONTENTS Introduction to Logistic Regression Understanding Regression Need for Logistic Regression The Mathematics Example of Logistic Regression Recap of Loss Function Loss Function in Logistic Regression Achieving Classification from Regression Advantages and Disadvantages of Logistic Regression Real World Examples of Logistic Regression
  • 3. 1. It is an example of supervised learning algorithm. 2. It has the unique property of working as a ‘Regression’ as well as a ‘Classification’ algorithm. 3. It is used to predict data sets with or situations which involve calculation of probabilities. 4. It is used for general binary classification. INTRODUCTION TO LOGISTIC REGRESSION
  • 4. LOGISTIC ‘REGRESSION’ Why is it called Logistic ‘REGRESSION’ ? a technique for investigating the relationship between independent variables or features and a dependent variable or outcome
  • 6. Linear Regression This is an ideal situation for a Linear Regression Model.
  • 7. WHEN LINEAR REGRESSION IS NOT ENOUGH A Dataset not suited to Linear Regression. Attempting to solve via Linear Regression.
  • 8. WHY LOGISTIC REGRESSION? 1. This is a curve that fits the given data more accurately. 2. There are a few things to note here which differ from Linear Regression Data – a) The range of the data is in between 0 and 1. b) All labels are either 0 or (TRUE or FALSE) 3. This is very similar to a Probabilistic Approach with binary outcomes.
  • 9. The Math - Sigmoid Function (The Logistic Function) 1. A sigmoid function is a bounded, differentiable, real function that is defined for all real input values and has a non-negative derivative at each point and exactly one inflection point. A sigmoid "function" and a sigmoid "curve" refer to the same object. a) bounded – implies the value is bound from 0 to 1 or any other ‘x to y’ b) differentiable – it is continuous throughout. c) non-negative derivative – function is only increasing ( as slope always positive) d) one inflection point – there exists only one point post which the graph shows rapid increase
  • 10. Note that z is also referred to as the log-odds because the inverse of the sigmoid states that z can be defined as the log of the probability of the 1 label (e.g., "dog barks") divided by the probability of the 0 label (e.g., "dog doesn't bark"): WHY THE SIGMOID FUNCTION? 1. Coming back to the original problem, a model was required to help predict a dataset that could not be fit into Linear Regression. 2. Seeing the data; we require a bounded model whose values should lie between 0 and 1 only.
  • 11. USING THE SIGMOID FN FOR LOGISTIC REGRESSION
  • 12. EXAMPLE OF LOGISTIC REGRESSION
  • 13. RECAP OF LOSS FUNCTIONS The Arrows represent the Respective Losses. HIGH LOSS LOW LOSS The commonly used Loss Function for Linear Regression is the Mean Squared Loss Function.
  • 14. LOSS FUNCTION IN LOGISTIC REGRESSION The loss function of Logistic Regression is known as the LOG LOSS
  • 15. HOW TO CLASSIFY FROM REGRESSION? To convert the regression output into a Classification Output, we must define a Classification Threshold. If one half of the regression output is one class, this is the value beyond which the other class starts.
  • 17. REAL WORLD EXAMPLES The First Tennessee Bank in assosciation with IBM’s SPSS (Statistical Package for the Social Sciences), also known as IBM SPSS Statistics achieved increases upto 600% in cross-sale campaigns using strategies developed through Logistic Regression Models.
  • 18. REAL WORLD EXAMPLES Multiple models have been developed for Heart Disease Prediction Using Logistic Regression. This is seen as a simple classification problem of whether a person is more prone to having a heart disease based on the medical records (which are excellent datasets).
  • 19. REAL WORLD EXAMPLES Fraud detection: Logistic regression models can help teams identify data anomalies, which are predictive of fraud. Certain behaviors or characteristics may have a higher association with fraudulent activities, which is particularly helpful to banking and other financial institutions in protecting their clients.