In classification, the response variable y has discreet values as opposed to continuous values. Some examples are e-mail (spam/non-spam), transactions (safe/fraudulent), and so on.
The y variable can take two values, namely 0 or 1, as illustrated in the following equation:
Here, 0 is referred to as a negative class and 1 means a positive class. Though we are calling them positive or negative, it is only for convenience's sake. Algorithms are neutral about this assignment. Algorithms have no emotions, and 1 does not mean higher than or better than 0.
Though linear regression works well with regression ...