statistical index (factor analysis) project index factor analysis decision tree

English or languish - Probing the ramifications
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FACTOR ANALYSIS
Criteria for Selecting the Number of Factors to be Extracted
factor rotation (criteria for selecting the number of factors to be extracted)

As the purpose of factor analysis is data reduction and summarization, including all of the factors of a particular factor solution in one's research report would be non-productive. This is especially true when one considers that the number of factors naturally increase with the size of the original variable set.

As the researcher is usually able to choose the number of factors to be generated by his software program, he typically performs additional factor runs after an initial screening of the factors. These additional runs include some number of factors slightly higher (two to three) and lower (one) than that obtained after the initial screen, and require some form of factor rotation. The criteria for the initial screening of factors are provided below:

Summary

Obviously which criterion one selects will depend on the individual research project and the researcher's objective. In the final analysis factors must be interpreted, if they are to provide meaningful results. The above criteria are simply guidelines for judgment -- not fast rules for factor number selection. (factor extraction criteria) | top)

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