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Getting Started in Factor Analysis (using Stata 10)

Getting Started in Factor Analysis (v. )Oscar 2008 ~otorres/ Factor Analysis : introFactor Analysis is used mostly for data reduction purposes: To get a small set of variables (preferably uncorrelated) from a large set of variables (most of which are correlated to each other) To create indexes with variables that measure similar things (conceptually). ExploratoryIt is exploratory when you do not have a pre-defined idea of the structure or how many dimensions are in a set of It is confirmatory when you want to test specific hypothesis about the structure or the number of dimensions underlying a set of variables ( in your data you may think there are two dimensions and you want to verify that).

Factor analysis is used mostly for data reduction purposes: – To get a small set of variables (preferably uncorrelated) from a large set of ... Principal-components factoring. Total variance accounted by each factor. The sum of all eigenvalues = total number of variables.

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