What does this mean?

While reviewing the histogram for residuals on regression evaluation data a Machine Learning Specialist notices that the residuals do not form a zero-centered bell shape as shown.

What does this mean?

A . The model might have prediction errors over a range of target values.
B . The dataset cannot be accurately represented using the regression model
C . There are too many variables in the model
D . The model is predicting its target values perfectly.

View Answer

Answer: A

Explanation:

Residuals are the differences between the actual and predicted values of the target variable in a regression model. A histogram of residuals is a graphical tool that can help evaluate the performance and assumptions of the model. Ideally, the histogram of residuals should have a zero-centered bell shape, which indicates that the residuals are normally distributed with a mean of zero and a constant variance. This means that the model has captured the true relationship between the input and output variables, and that the errors are random and unbiased. However, if the histogram of residuals does not have a zero-centered bell shape, as shown in the image, this means that the model might have prediction errors over a range of target values. This is because the residuals do not form a symmetrical and homogeneous distribution around zero, which implies that the model has some systematic bias or heteroscedasticity. This can affect the accuracy and validity of the model, and indicate that the model needs to be improved or modified.

References:

Residual Analysis in Regression – Statistics By Jim

How to Check Residual Plots for Regression Analysis – dummies Histogram of Residuals – Statistics.

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