What are the applications of cost-sensitive learning in AI?

What are the applications of cost-sensitive learning in AI?

Cost-sensitive learning is used in various fields like healthcare, fraud detection, and risk management to minimize costs.

Can you give an example in healthcare?

Sure! In healthcare, cost-sensitive learning can help prioritize patients for treatments based on the cost of misdiagnosis.

What about in fraud detection?

In fraud detection, it helps to identify fraudulent transactions while minimizing false positives, which can be costly.

Are there any challenges in implementing this approach?

Yes, challenges include accurately estimating costs and balancing sensitivity and specificity in models.