Re: st: Harman's single-factor test in Stata

[John Antonakis <John.Antonakis@unil.ch>]

Hi:

Take a look at my "Causal claims" paper. Fixed-effects can only 
eliminate unmodeled variance due to constant effects; however, if your 
modeled independent variables are not exogenous then you may have a 
problem; and, the Harman "test" (which is far from being a test), will 
not help you.

Best,
J.

__________________________________________

Prof. John Antonakis
Faculty of Business and Economics
Department of Organizational Behavior
University of Lausanne
Internef #618
CH-1015 Lausanne-Dorigny
Switzerland
Tel ++41 (0)21 692-3438
Fax ++41 (0)21 692-3305
http://www.hec.unil.ch/people/jantonakis

Associate Editor
The Leadership Quarterly
__________________________________________


On 13.04.2012 18:09, Bernini, Michele wrote:
> Hi John,
>
> thanks for your answer.  I am using self-reported variable from survey data both on the LHS and on the RHS of my model and I intend to check for omitted variable bias (assuming they are time invariant) with fixed effect (I have got two cross sections for each individual). I planned to use Harman's to check for bias more closely related to the structure of the questionaire:
>
> -for example as both my dependent and independent are ordered categorical, I want to see if questionnaire design induce to choose high categories.
>
>
> do you think Harman's is redundant in this context?
>
> Thanks again,
>
> Michele
>
>
>
>
>
> On 13 Apr 2012, at 16:52, John Antonakis wrote:
>
> > Hi Michele:
> >
> > I would strongly advise you to not conduct such a test--thus, your Stata
> > question is not really of issue.
> >
> > Common-method variance bias is a kind of omitted variable problem that
> > creates endogeneity. The problem you have is that you don't know how
> > this omitted variable affects the other variables in the model. The
> > Harman approach has been shown to not recover true model parameters:
> >
> > Richardson, H. A., Simmering, M. J.,&  Sturman, M. C. (2009). A Tale of
> > Three Perspectives: Examining Post Hoc Statistical Techniques for
> > Detection and Correction of Common Method Variance. Organizational
> > Research Methods, 12(4), 762-800.
> >
> > Antonakis, J., Bendahan, S., Jacquart, P.,&  Lalive, R. (2010). On
> > making causal claims: A review and recommendations. The Leadership
> > Quarterly, 21(6), 1086-1120. (this paper also shows how endogeneity
> > creates bias and that only instruments can help you).
> >
> > Only a design that eliminates common-method variance, or instrumental
> > variables, can save the day.  The latter are hard to come by but if you
> > have them then you can purge the model from the endogeneity bias.  See also:
> >
> > Podsakoff, P. M., MacKenzie, S. B.,&  Podsakoff, N. P. (2012). Sources
> > of Method Bias in Social Science Research and Recommendations on How to
> > Control It. Annual Review of Psychology, 63(1), 539-569.
> >
> > HTH,
> > JOhn.
> >
> > __________________________________________
> >
> > Prof. John Antonakis
> > Faculty of Business and Economics
> > Department of Organizational Behavior
> > University of Lausanne
> > Internef #618
> > CH-1015 Lausanne-Dorigny
> > Switzerland
> > Tel ++41 (0)21 692-3438
> > Fax ++41 (0)21 692-3305
> > http://www.hec.unil.ch/people/jantonakis
> >
> > Associate Editor
> > The Leadership Quarterly
> > __________________________________________
> >
> >
> > On 13.04.2012 17:35, Bernini, Michele wrote:
> > > Dear Statalister,
> > >
> > > I am trying to perform an Harman's single-factor test with stata to check for Common Method Variance. However I am not sure which method should I use when I do Factor Analysis with Stata. For example Principal factor confirms the presence of CMV while Principal-Component factor rejects it.
> > >
> > > Thanks for your help!
> > >
> > >
> > >
> > > Michele Bernini
> > > Phd Candidate
> > > School of International Studies (SIS)
> > > University of Trento
> > > Via Verdi, 8/10
> > > I-38122 Trento
> > > Italy
> > >
> > > Tel. +39 3491831687
> > >
> > >
> > >
> > >
> > >
> > > *
> > > *   For searches and help try:
> > > *   http://www.stata.com/help.cgi?search
> > > *   http://www.stata.com/support/statalist/faq
> > > *   http://www.ats.ucla.edu/stat/stata/
> > *
> > *   For searches and help try:
> > *   http://www.stata.com/help.cgi?search
> > *   http://www.stata.com/support/statalist/faq
> > *   http://www.ats.ucla.edu/stat/stata/
> Michele Bernini
> Phd Candidate
> School of International Studies (SIS)
> University of Trento
> Via Verdi, 8/10
> I-38122 Trento
> Italy
>
> Tel. +39 3491831687
>
>
>
>
>
> *
> *   For searches and help try:
> *   http://www.stata.com/help.cgi?search
> *   http://www.stata.com/support/statalist/faq
> *   http://www.ats.ucla.edu/stat/stata/
*
*   For searches and help try:
*   http://www.stata.com/help.cgi?search
*   http://www.stata.com/support/statalist/faq
*   http://www.ats.ucla.edu/stat/stata/