A loss function is a key component in training machine learning models. It is closely related to the Cost Function, error function, and objective function, and serves as an important metric for Model Evaluation.

Purpose

  • Measure predictive accuracy: Quantifies the difference between predicted and actual values. In other words, it measures how well a model’s predictions match the true targets by assigning an error value to each prediction.
  • Goal: To be minimized: During training, the primary objective is to minimize the loss function so that predictions become more accurate, even on unseen data.

Usage

  • Training: Guides updates to Model Parameters during optimization (e.g., using Gradient Descent).
  • Evaluation: Assesses how well the trained model performs on validation or test data.

Examples