Figure 7-4 The structural model specification SEM 1:1
Model SEM 1:1 is specified with one exogenous (independent) and two
endogenous (dependent) latent variables. The guidelines for ensuring that the
model is identified (Hair et al. 2006 : 785; 792) are followed insofar as ML and JP
follow the three indicator rule and DSB satisfies the two indicator rule (provided
its relationship to ML is statistically significant). The model is estimated using the
ML (maximum likelihood) method.
Figure 7 - 5 shows the parameter estimates and model fit statistics for SEM 1:1.
Figure 7-5 Estimates for SEM 1:1
Once again, the fit measures for the model are all satisfactory:
model χ^2 is non-significant at 0.247;