Modern AI Engineering

Lesson 2.3 · 23 min · video lesson

Predicting Numbers vs Categories: Regression Compared

Despite the shared word "regression", one of these models predicts numbers and the other answers yes-or-no questions. How can one small change, a sigmoid, turn the first into the second?

In short: Linear regression predicts a continuous number by fitting a straight line (or plane) that minimises squared error. Logistic regression predicts the probability of a yes/no outcome by passing the same kind of linear score through a sigmoid that squashes it into 0 to 1, and it is trained with log loss. Use linear regression for "how much?" and logistic regression for "which class?".

What you will learn

  • Linear Regression
  • Logistic Regression
  • Differences Between Linear Regression and Logistic Regression

In this lesson

  1. Two kinds of questions
  2. Linear regression
  3. Logistic regression
  4. Code: both models on the same students
  5. Differences between linear and logistic regression
  6. Real-world use
  7. Common mistakes and limits
  8. Worked example, step by step
  9. Practice: try it yourself

Key terms in this lesson

Linear regression
A model that predicts a continuous value as a weighted sum of features plus a bias.
Logistic regression
A classification model that outputs a probability by applying the sigmoid to a linear score.
Sigmoid
The function σ(z) = 1 / (1 + e⁻ᶻ), which maps any real number into the range 0 to 1.
Log-odds (logit)
ln(p / (1 − p)); logistic regression models this as a linear function of the features.
Log loss
Binary cross-entropy: the loss that heavily penalises confident wrong probability predictions.
Decision boundary
The set of inputs where the model switches between predicted classes.

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