Exploratory Factor Analysis: a critical evaluation
Tuesday, October 9th, 2007Originally written for a Psychology Research Methods Course in 1997.
introduction
The usual convention in starting an evaluation of method is to define the terms, however, this is a major problem we face in examining exploratory factor analysis, for our view of the “ontological status of theoretical entities” (Maxwell, 1962) governs how we define factors and ascribes the legitimate use to which we can put exploratory factor analysis. Royce provides a summary of some of the positions taken on factors:
Factors have been defined as dimensions, determinants, functional unities, parameters, and taxonomic categories. In terms of their theoretical significance they have been referred to as convenient classificatory conceptualizations …, as real … , and as artifactors (1963: 522).
To understand these differences in definition we need to explore the realist-instrumentalist debate. After examining this debate and a third associated position, the assumptions and problems associated with exploratory factor analysis will be discussed. An attempt will be made to integrate the usual perspective of exploratory factor analysis as involving inductive inference and Haig’s (1996) assertion that is involves abductive inference. Concluding we will see that: “it [exploratory factor analysis] allows for a number of relatively unexplored domains to be investigated so that they might form data bases out of which highly specific hypotheses may be generated” (Gorsuch, 1988: 235). Before this we have to make certain distinctions.
Factor analysis developed as an exploratory method. Spearman, the originator, developed it for this purpose (Kline, 1994: 7) Not until the 1970’s did it develop as a confirmatory method (Kline, 1994: 10). The distinction can be made between exploratory factor analysis and confirmatory factor analysis.In the case of exploratory factor analysis “the researcher would not venture any forecasts on the nature and structure of factors of factors that will be extracted from his matrix. The latter [confirmatory factor analysis] obtains when he sets forth an explicit hypotheses on such nature and structure, and treats factor analysis as a test that will either confirm or disconfirm his expectations” (Marradi, 1981: 26-27). The key distinction is whether hypotheses are stated prior to the method being employed (Gorsuch, 1988: 235).
A distinction must be made between common factor analysis and principle component factor analysis. Principle component analysis is one attempt to overcome factor indeterminacy, a problem associated with common factor analysis. Factor indeterminacy will be discussed later in this paper. For the purposes of this discussion only exploratory common factor analysis will be considered when we speak of exploratory factor analysis.
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