Chapter 5: Latent variable models with categorical indicators

One-factor model for binary items: Assessment of model fit

Methods that can be used to assess the goodness of fit of a latent variable model have been discussed for factor analysis models in Chapter 2. Most of the general ideas introduced there, and some but not all of the methods, apply also to model assessment for latent trait models:

If we consider a model with one latent factor and conclude that it does not fit well, this suggests that either some of the items could be omitted to obtain a model which fits better for the remainder of the items, or that a model with more than one factor should be considered. Models with multiple factors are discussed briefly in the next section, together with other extensions.

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