Understand, Manage, and Prevent Algorithmic Bias by Tobias Baer

Understand, Manage, and Prevent Algorithmic Bias by Tobias Baer

Author:Tobias Baer
Language: eng
Format: epub
ISBN: 9781484248850
Publisher: Apress


Summary

In this chapter, you explored how to quantify the risk of a specific algorithm being biased in a forward-looking manner. Key take-aways are:You should assess both the severity of losses you were to face if a bias materializes and the likelihood that the algorithm actually is biased.

Loss severity is driven by legal, reputational, and business risks.

Assessment of loss severity reflects both your knowledge of the specific business context and your risk appetite (which acts like a discount factor applied to worst-case scenarios).



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