Municipal bulk-trash surcharge dollars run from pocket change to a few extreme commercial hauls. A linear model treats the tail as the whole story. Which transform should they apply to that positive amount first?

Short Explanation

Think of surcharge dollars from pocket change to a few monster commercial hauls. A linear model treats the tail as the whole story. Log-transform that positive amount first. Do not one-hot the dollars.

Full Explanation

A log transformation compresses a right-skewed positive amount before linear or distance methods. Leaving the tail raw, one-hot encoding dollars, and Rekognition do not compress that amount.

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