1 Read The Definition Of Log Loss L Y P A Why Is The Scoring Function Defined As The 2664128

1. Read the definition of log loss, L [Y, P].

(a) Why is the scoring function  defined as the negative log loss, −L [Y, P]?

(b) What would be the outcome of maximizing the log loss, rather than the negative log loss?

2. Consider an investment strategy that sizes its bets equally, regardless of the forecast’s confidence. In this case, what is a more appropriate scoring function for hyper-parameter tuning, accuracy or cross-entropy loss?