LECTURE SERIES

STRUCTURAL EQUATION MODELING

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LECTURE - 2

BASIC INTRODUCTION- II

Latent Vs. Manifest/ Observed Variables

in SEM analysis

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Table of Content

1. Latent Variables

1. Observed or Manifest Variables

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 What is Latent & Observed in SEM?

1. SEM consists of two parts

o Measurement model(s) for each latent variable
o Path analysis between the latent and observed
variables

1. Variable Labels
o Latent variable factor construct
o Observed variable measured variable
manifest variable indicator generally
considered endogenous
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Latent Variables
In the behavioural sciences researchers often interested in
studying theoretical constructs that cannot be observed
directly.
✓ These phenomena are termed as
latent variables, or common factors.
✓ Unmeasurable “Pure” Variables or true score
✓ not directly observed
✓ Free of measurement errors

Examples of latent variables:

1. Psychology: Self concept and Motivation.
2. Education:Verbal ability& Teacher Expectancy.
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Observed or manifest variables

Latent variables are not observed directly, it follows
that they cannot be measured directly.
❖ The unobserved variable is linked to one that is
observable, thereby measurement is possible.
❖ directly measurable (through questionnaire)
❖ include measurement error
❖ The term behaviour is used here in the very broadest
sense to include scores on a particular measuring
instrument.

Examples:
1. Self-report to an attitudinal scale.
2. Scores on achievement test.
Figure shows the Latent & Observed Variables
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Upcoming Weeks…..

Lecture -3
Structural Equation Modeling (SEM) using AMOS

1. Exogenous and Endogenous latent variables

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