Reference · Glossary

Loss functions (overview)

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A **loss function** scores how wrong a model's predictions are — training minimizes this score so the model improves on the task you actually care about.

#When to use

Choosing the right objective for regression (MSE), classification (cross-entropy), ranking, or generation — each task needs a loss that matches the output type.

#When not to

When you're only doing inference with a frozen model — loss is a training-time concept unless you're fine-tuning or evaluating.

#Example

| Task | Common loss | Intuition |

|------|-------------|-----------|

| Predict price | MSE | Penalize big numeric errors |

| Spam filter | Cross-entropy | Penalize confident wrong class |

| Next token | Cross-entropy | Penalize unlikely correct word |

Pick loss → compute gradient → update weights. Wrong loss = model optimizes the wrong goal.