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Korean Journal of Psychology: General

Evaluating the Accuracy of Parallel Analysis for Determining the Number of Common Factors

Korean Journal of Psychology: General / Korean Journal of Psychology: General, (P)1229-067X; (E)2734-1127
2017, v.36 no.4, pp.441-475
https://doi.org/10.22257/kjp.2017.09.36.3.441


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Abstract

Parallel analysis is a method of estimating the number of factors by comparing the eigenvalues ​​of sample data with the eigenvalues ​​of random data. This method is considered to be theoretically more valid and empirically more accurate in estimating the number of factors than other methods, such as Kaiser method and scree test, that estimate the number of factors based on the eigenvalues. However, several criticisms have been raised about the validity of the rationale for parallel analysis and various modifications have been proposed. There have also been concerns about the conditions under which parallel analysis shows relatively low accuracy. The current study examined the rationale and limitations of the use of eigenvalues ​​and parallel analysis to estimate the number of factors, and based on this, we specified the conditions under which the accuracy of parallel analysis may be low. We also examined, through a simulation, the effects of various factors that may affect the accuracy of parallel analysis and confirmed the conditions where cautions are needed when applying parallel analysis. The results of the simulation show that the accuracy of estimating the number of factors in the parallel analysis is greatly influenced by the size of factor correlations, the magnitude of factor loadings, the number of factors, and the number of variables per factor. In addition, we confirmed that the accuracy of the parallel analysis is significantly lower when a factor model includes a weak factor with low factor loadings. Overall, the accuracy of the parallel analysis for the reduced correlation matrix (PA-PAF) was higher than the parallel analysis for the correlation matrix (PA-PCA), which in particular, PA-PAF showed high accuracy when factor correlations were high, and PA-PCA showed high accuracy when factor correlations were low. Based on the results of the simulation analyses, we proposed sample sizes required for parallel analysis to provide accuracy of 90% or higher under conditions with different levels of factor correlation, factor loading, and the number of factors.

keywords
parallel analysis, number of factors, eigenvalues, reduced correlation matrix, sample size, 평행분석, 요인의 개수, 고윳값, 축소상관행렬, 표본크기

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Korean Journal of Psychology: General