This looks really promising. I'm definitely going to keep this in mind if the opportunity comes up for me to teach stats. [Read more…]
I think it's fairly well-established that the more predictors you add the model, the higher the R2 (most of the time). Therefore, it can be tricky to compare dueling latent variables with unevequal numbers of indicators. It's not clear to me, however, that aggregating across the variables solves this problem. It seems to persist even when a single average value is used to represent all of the latent variable's indicators.