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Factor Analysis Example - Harvard University

Factor Analysis Example - Harvard University

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Use Principal Components Analysis (PCA) to help decide ! Similar to “factor” analysis, but conceptually quite different! ! number of “factors” is equivalent to number of variables ! each “factor” or principal component is a weighted combination of the input variables Y 1 …. Y n: P 1 = a 11Y 1 + a 12Y 2 + …. a 1nY n

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