Description: Numerical encoding is the process of converting categorical variables into a numerical format that can be used in machine learning models. This process is fundamental in data preprocessing, as many machine learning algorithms require input data to be numeric in order to perform calculations and analyses. Categorical variables, which represent categories or groups, cannot be processed directly by these algorithms, making numerical encoding a crucial step in data preparation. There are different encoding techniques, such as one-hot encoding, which creates binary columns for each category, and ordinal encoding, which assigns numerical values to categories with an inherent order. The choice of the appropriate technique depends on the type of variable and the model being used. Numerical encoding not only facilitates data interpretation but can also improve model accuracy by allowing algorithms to recognize patterns and relationships in the data more effectively.
