Using a score scale in amos

[Maneesha Singh]

Respected sir and group members,

I am working on a research that requires measuring financial literacy. Instead of using the self-reported 5-point likert scales (ex: of Lusardi etc.), I am using the scale given by OECD where Financial literacy is broadly divided into three parts. One of which is financial knowledge that is measured by giving scores of correct (1) and incorrect (0) and then preparing a summated scale. 

I have this query that, is it allowed to use DV and mediators as reflective constructs and the IDV (financial literacy in my research) as a single observed variable using a summated scale in amos or it can be made into a formative construct and dealt in some other software?

Will there be need to prepare measurement model for the remaining variables if summated scale is used for one variable or we can work on the structural model only?

Thanks and regards

Maneesha Singh

Research scholar

MNNIT Allahabad 

[Neeraj Kaushik]

Dear Maneesha

If you are using a methodology to get a score, it is called as an Index.

It is perfectly ok to use the index score as IDV or DV in structural relation in AMOS or any other software.

However, no measurement model will be reported for an index.

Best wishes

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[Maneesha Singh]

Thank you for your response sir

Is there any reference that needs to be given for the same or it's a normal practice?

If there is any reference, it will be very helpful if you can share. 

Thank you.

Maneesha Singh 

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[Neeraj Kaushik]

It is quite a normal practice to use Single item construct in SmartPLS

Even in the examples of Corporate reputation Model given by developers in SmartPLS book as well as in their software, Customer Satisfaction is a single item construct

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[Maneesha Singh]

Okay sir

Thank you so much

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