What are the applications of Lasso Regression?

What are the applications of Lasso Regression?

Lasso Regression is commonly used in scenarios where feature selection is important, such as in high-dimensional datasets.

Can you give me an example of where it's applied?

Sure! It's often used in genetics to identify significant genes associated with diseases by selecting the most relevant features.

How does it compare to Ridge Regression?

Lasso Regression can shrink some coefficients to zero, effectively performing variable selection, while Ridge Regression shrinks all coefficients but does not set any to zero.

Is Lasso Regression suitable for time series data?

Lasso can be used for time series data, but it's essential to consider the temporal structure and potential autocorrelation in the data.

What are the limitations of Lasso Regression?

Some limitations include its sensitivity to outliers and the fact that it may not perform well when predictors are highly correlated.