Growth, Development and Happiness - the lasso with some socio-economic indicators
The lasso is a modified regression method that gained popularity following the work of Tibshirani (Tibishirani et. al, 1996). It shares similarities with linear regression in that it aims to minimize the difference between observed responses and the predictions of a linear model. However, it sets itself apart by performing variable selection, effectively picking the most important predictors from the available set. In contrast to linear regression, where all variables receive non-zero coefficients, the lasso offers a solution when there is a large number of irrelevant variables that do not significantly influence the outcome....