Factor analysis, Applied Statistics

Assignment Help:

Factor analysis (FA) explains variability among observed random variables in terms of fewer unobserved random variables called factors. The observed variables are expressed in terms of linear combinations of the factors, plus "error" terms. Factor analysis originated in psychometrics, and is used in social sciences, marketing, product management, operations research, and other applied sciences that deal with large quantities of data.

Factor analysis is applied to a set of variables to discover coherent subsets that are relatively independent of one another. Variables, correlated with each other and independent of other subsets of variables are combined into factors. Factors, which are generated, are thought to be representative of the underlying processes that have created the correlations among variables.

FA can be exploratory in nature; FA is used as a tool in attempts to reduce a large set ' of variable:: to a more meaningful, smaller set of variables. As FA is sensitive to the magnitude Tolerrelations robust comparisons must be made to ensure the quality of the analysis.


Related Discussions:- Factor analysis

Hortons initial infiltration capacity, (a) The Horton's initial infiltratio...

(a) The Horton's initial infiltration capacity for a catchment is 204 mm/h and the constant infiltration value at saturation is 60 mm/h. For a rainfall in excess of 204 mm/h mainta

Find the mean and standard deviation, Problem : A company supplying ele...

Problem : A company supplying electrical products, places a rush order for electric wires. Consignments of wires are to be sent immediately when they are available. Previous

Sensitivity and Specificity tests, The prevalence of undetected diabetes in...

The prevalence of undetected diabetes in a population to be screened is approximately 1.5% and it is assumed that 10,000 persons will be screened. The screening test will measure

Advantages of mode, Advantages By definition, mode is the most typic...

Advantages By definition, mode is the most typical or representative value of a distribution. Hence, when we talk of modal wage, modal size of shoe or modal size of family i

Simple linear regression model, A study was conducted to determine the amou...

A study was conducted to determine the amount of heat loss for a certain brand of thermal pane window. Three different windows were randomly subjected to each of three different ou

Good measure of quality, Education seems to be a very difficult field in wh...

Education seems to be a very difficult field in which to use quality methods. One possible outcome measures for colleges is the graduation rate (the percentage of the students matr

Estimate a linear probability model, Estimate a linear probability model: ...

Estimate a linear probability model: Consider the multiple regression model: y = β 0 +β 1 x 1 +.....+β k x k +u Suppose that assumptions MLR.1-MLR4 hold, but not assump

Uses of arthematic mean, give me question on mean is the aimplest average t...

give me question on mean is the aimplest average to understand and easy to compute

Find the probability that a lift will weigh, Lifts usually have signs indic...

Lifts usually have signs indicating their maximum capacity. Consider a sign in a lift that reads "maximum capacity 1400kg or 20 persons". Suppose that the weights of lift-users are

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd