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CS Professional · Artificial Intelligence, Data Analytics and Cyber Security - Laws and Practice · Artificial Intelligence - Introduction and Basics

A Mumbai lender trains a model on historical loan records where each record already carries a label showing whether the borrower defaulted. The model learns to predict default for new applicants. Which type of machine learning is this?

This is supervised learning, because the model is trained on historical records that already carry labels (default or not) and learns to predict that label for new applicants. Unsupervised methods use unlabelled data, and reinforcement learning uses rewards from actions.

  1. ASupervised learningCorrect
  2. BUnsupervised learning
  3. CReinforcement learning
  4. DSelf-organising clustering

Explanation

Supervised learning uses labelled examples, here the default/no-default outcome, to learn a mapping to predict labels for new data. Unsupervised learning would work without labels and only find structure such as clusters. Reinforcement learning relies on rewards from interaction, which is not described.

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