The Bias-Variance Tradeoff mathematically decomposes generalization error into three orthogonal components:
E[(y−f^(x))2]=Bias2(f^(x))+Variance(f^(x))+σ2 (where
σ2 is irreducible noise); High Bias (Underfitting) manifests when both training and validation losses are stagnant and elevated, calling for increased capacity (more layers, polynomial feature interactions, relaxed regularization); High Variance (Overfitting) manifests when training loss drops near zero while validation loss diverges with a widening generalization gap, requiring data augmentation, L1/L2 penalties, Dropout, or bagging ensembles.