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one hot label Target encoding yeah yeah stack Quest hello Im Josh starmer and welcome to statquest today were going to talk about one hot label and Target encoding and theyre going to be clearly explained you dont have to worry about the details of scaling your stuff up in the cloud cause lightning will take care of it for you bam this stat Quest is also brought to you by the letters a b and c a always b b c curious always be curious imagine we had this data and we wanted to use favorite color and height to predict if someone loves Troll 2 which is a movie that some people love and some people dont in this case favorite color has three discrete values blue red and green now in theory discrete features like favorite color are fine for most machine learning algorithms but in practice a lot of popular machine learning algorithms including neural networks do not work well with them as a result discrete data are often converted into numerical values before being used for machine learni