In the described analysis, the lift provided by the predictive model is 3. The lift is calculated as the model percentage divided by the non-model percentage. What is the lift value?

Prepare for the Associate in Claims (AIC) 300 exam. Study with flashcards and multiple choice questions. Get ready for your exam!

Multiple Choice

In the described analysis, the lift provided by the predictive model is 3. The lift is calculated as the model percentage divided by the non-model percentage. What is the lift value?

Explanation:
Lift measures how much more likely the outcome is with the model than without it. It’s calculated as model percentage divided by non-model percentage. If the lift is 3, that means the model’s predicted positive rate is three times the non-model rate (a 3:1 ratio). For example, model percentage could be 60% and non-model 20%, since 60/20 = 3. So the lift value is 3. The other numbers would represent different ratios and don’t match the given lift.

Lift measures how much more likely the outcome is with the model than without it. It’s calculated as model percentage divided by non-model percentage. If the lift is 3, that means the model’s predicted positive rate is three times the non-model rate (a 3:1 ratio). For example, model percentage could be 60% and non-model 20%, since 60/20 = 3. So the lift value is 3. The other numbers would represent different ratios and don’t match the given lift.

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy