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In statistics and research design, an indicator is an observed value of a variable, or in other words "a sign of a presence or absence of the concept being studied". [1] Just like each color indicates in a traffic lights the change in the movement.
Dummy variables are commonly used in regression analysis to represent categorical variables that have more than two levels, such as education level or occupation. In this case, multiple dummy variables would be created to represent each level of the variable, and only one dummy variable would take on a value of 1 for each observation.
In statistics and research design, an index is a composite statistic – a measure of changes in a representative group of individual data points, or in other words, a compound measure that aggregates multiple indicators. [1] [2] Indices – also known as indexes and composite indicators – summarize and rank specific observations. [2]
Other latent variables correspond to abstract concepts, like categories, behavioral or mental states, or data structures. The terms hypothetical variables or hypothetical constructs may be used in these situations. The use of latent variables can serve to reduce the dimensionality of data. Many observable variables can be aggregated in a model ...
Construct validity concerns how well a set of indicators represent or reflect a concept that is not directly measurable. [1] [2] [3] Construct validation is the accumulation of evidence to support the interpretation of what a measure reflects.
For the EFA procedure, we are more interested in identifying the common factors and the related manifest variables. EFA assumes that any indicator/measured variable may be associated with any factor. When developing a scale, researchers should use EFA first before moving on to confirmatory factor analysis (CFA). [4]
A latent variable model is a statistical model that relates a set of observable variables (also called manifest variables or indicators) [1] to a set of latent variables.Latent variable models are applied across a wide range of fields such as biology, computer science, and social science. [2]
In science and research, an attribute is a quality of an object (person, thing, etc.). [1] Attributes are closely related to variables. A variable is a logical set of attributes. [1] Variables can "vary" – for example, be high or low. [1]