Kline R.B. Principles and Practice of Structural Equation Modeling

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384 Suggested Answers to Exercises

4. Socioeconomic status (SES) is represented in Figure 10.5 as a reﬂective construct that causes

its indicators, but this speciﬁcation is backward from how we usually think of SES. Along

the same lines, stress is also represented in the ﬁgure as a reﬂective construct, but one could

argue that overall stress level is affected by the experience of either work-related stress or

relationship-oriented stress, not the other way around. However, because each of these fac-

tors in Figure 10.5 emits just one path, it would not be possible to respecify the model such

that SES and stress each are represented as a formative construct with cause indicators only

and a disturbance without changing the original structural model. But it would be possible to

estimate a model where SES and stress composites each have no disturbance term and emit a

single direct effect. Another alternative would be to use the technique of PLS-PM to estimate

this model.

5. Standardized effect decomposition for the structural model in Figure 10.3:

Predictor

Outcome Constructive Dysfunctional Well-Being

Dysfunctional Direct –.124 — —

Indirect — — —

Total –.124 — —

Suggested Answers to Exercises 385

Well-Being Direct .082 –.470 —

Indirect –.124 (–.470) =

.058

— —

Total .082 + .058 =

.140

–.470 —

Satisfaction Direct .093 –.149 .382

Indirect –.124 (–.149) +

.082 (.382) +

–.124 (–.470) (.382) =

.072

–.470 (.382) =

–.179

—

Total .165 –.329 .382

6. With 12 observed variables, there are 12(13)/2 = 78 observations for this analysis. There are

a total of 31 free parameters, including 16 variances (of four factors and 12 measurement

errors), seven covariances (six between each pair of the four factors and one between a pair

of measurement errors), and eight factor loadings (two per factor), so df

= 78 – 31 = 47.

7. Predictor (causally prior) factors have indirect effects on the indicators of outcome factors.

For example, the constructive thinking factor in Figure 10.3 has indirect effects on all three

indicators of the dysfunctional thinking factor, such as

Constructive → Dysfunctional → Approval

For example, LISREL reports that the completely standardized total effects of constructive

thinking on the approval indicator of the dysfunctional thinking factor is –.082. This total

effect consists of the indirect effect just listed. The standardized direct effect of construc-

tive thinking on dysfunctional thinking is –.124, and the standardized factor loading of the

approval indicator on the dysfunctional thinking factor is .660 (Table 10.3), so the whole

indirect effect is estimated as –.124 (.660) = –.082.

387

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