Derivation of Theory by Means of Factor Analysis or Tom Swift and His Electric Factor Analysis Machine
AbstractProblems in the use of factor analysis for deriving theory are illustrated by means of an example in which the underlying factors are known. The actual underlying model is simple and it provides a perfect explanation of the data. While the factor analysis 'explains' a large proportion of the total variance, it fails to identify the known factors in the model, The illustration is used to emphasize that factor analysis, by itself, may be misleading as far as the development of theory is concerned. The use of a comprehensive, and explicit à priori analysis is proposed so that there will be independent criteria for the evaluation of the factor analytic results.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by EconWPA in its series General Economics and Teaching with number 0502004.
Length: 6 pages
Date of creation: 04 Feb 2005
Date of revision:
Note: Type of Document - pdf; pages: 6
Contact details of provider:
Web page: http://184.108.40.206
Find related papers by JEL classification:
- A - General Economics and Teaching
This paper has been announced in the following NEP Reports:
- NEP-ALL-2005-04-16 (All new papers)
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Robert MacCallum, 1983. "A comparison of factor analysis programs in SPSS, BMDP, and SAS," Psychometrika, Springer, vol. 48(2), pages 223-231, June.
- Charles Sherman, 1972. "Nonmetric multidimensional scaling: A monte carlo study of the basic parameters," Psychometrika, Springer, vol. 37(3), pages 323-355, September.
- A. Oumlil & Joseph Balloun, 1994. "Some simple structure significance tests for exploratory component analysis with market survey data," Quality & Quantity: International Journal of Methodology, Springer, vol. 28(4), pages 371-381, November.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (EconWPA).
If references are entirely missing, you can add them using this form.