Ridge regression and Lasso are two regression estimators based on penalization.

Which of the following statements describe how they are similar and how theydiffer? (Check all that apply.)

A.

Both the ridge regression and the Lasso estimate many coefficients to be exactly0, thereby excluding them from the prediction process.

B.

The ridge regression penalty increases with the sum of the squared coefficients and the Lasso penalty increases with the sum of the absolute values of the coefficients.

C.

The ridge regression estimator minimizes the sum of squared residuals without the added penalty and the Lasso estimator minimizes the penalized sum of squares.

D.

With ridge andLasso, the regression fit and the estimated coefficients depend on the specific regressors chosen for the linear combinations.