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Can you elaborate on the dissimilarity between L1 and L2 regularization and how it's implemented in regression analysis? Also, when would you prefer one over the other?

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Interview question asked to Machine Learning Engineers interviewing at DigitalOcean, YouTube, Ubisoft and other companies. Original question asked: Can you elaborate on the dissimilarity between L1 and L2 regularization and how it's implemented in regression analysis? Also, when would you prefer one over the other?.