Data Science - Random Forests
Random Forest is a popular machine learning algorithm that belongs to the supervised learning technique. It can be used for both Classification and Regression problems in ML. It is based on the concept of ensemble learning, which is a process of combining multiple classifiers to solve a complex problem and to improve the performance of the model.
As the name suggests, "Random Forest is a classifier that contains a number of decision trees on various subsets of the given dataset and takes the average to improve the predictive accuracy of that dataset." Instead of relying on one decision tree, the random forest takes the prediction from each tree and based on the majority votes of predictions, and it predicts the final output.
The greater number of trees in the forest leads to higher accuracy and prevents the problem of overfitting.
This assignment will study following Questions :
Problem Statement No 1 :
A cloth manufacturing company is interested to know about the segment or attributes causes high sale. Approach - A Random Forest can be built with target variable Sales (we will first convert it in categorical variable) & all other variable will be independent in the analysis.
Problem Statement No 2 :
Use Random Forest to prepare a model on fraud data. Treating those who have taxable income <= 30000 as "Risky" and others are "Good"