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Cookies: Perfect Recipes for Parties, Family & Friends Weight of evidence (WOE) and Information value (IV) are simple, yet powerful techniques to perform variable transformation and selection. These concepts have huge connection with the logistic ...
The Story of Patsy; a Reminiscence Weight of Evidence. The Weight of Evidence or WoE value is a widely used measure of the "strength” of a grouping for separating good and bad risk (default). It is computed from the basic odds ratio: (Distribution of Good Credit Outcomes) / (Distribution of Bad Credit Outcomes)
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