Path models with observed composites based on multiple items (e.g., mean or sum score of the items) are commonly used to test interaction effects. Under this practice, researchers generally assume that the observed composites are measured without errors. In this study, we reviewed and evaluated two alternative methods within the structural…

The Werts-Linn procedure for dealing with categorical errors of measurement in "Comments on Boyle's 'Path Analysis and Ordinal Data'" in The American Journal of Sociology, volume 76, number 6, May 1971, is shown to be inappropriate to the problem of ordered categories. (For related document, see TM 002 301.) (DB)

The logic of using a gain score approach versus longitudinal causal models is studied in this secondary analysis of a complex data base. The gain score model used by the Federal Reserve Bank and the School District of Philadelphia in their "What Works in Reading?" study is successively refined using the LISREL structural equation…