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Using random effects models in prediction problems

The Unofficial Google Data Science Blog

In the context of prediction problems, another benefit is that the models produce an estimate of the uncertainty in their predictions: the predictive posterior distribution. Column "a" is an advertiser id, "b" is a web site, and "c" is the 'interaction' of columns "a" and "b". $y$ ICML, (2005). [3] 2005): 301-320. [9]

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Data Science, Past & Future

Domino Data Lab

By virtue of that, if you take those log files of customers interactions, you aggregate them, then you take that aggregated data, run machine learning models on them, you can produce data products that you feed back into your web apps, and then you get this kind of effect in business. They’re being told they have to embrace uncertainty.