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Residuals and the Residual-Based Statistic for Testing Goodness of Fit of Structural Equation Models
Foldnes, Njal; Foss, Tron; Olsson, Ulf Henning – Journal of Educational and Behavioral Statistics, 2012
The residuals obtained from fitting a structural equation model are crucial ingredients in obtaining chi-square goodness-of-fit statistics for the model. The authors present a didactic discussion of the residuals, obtaining a geometrical interpretation by recognizing the residuals as the result of oblique projections. This sheds light on the…
Descriptors: Structural Equation Models, Goodness of Fit, Geometric Concepts, Algebra
Mamon, Rogemar S. – International Journal of Mathematical Education in Science and Technology, 2004
Within the general framework of a multifactor term structure model, the fundamental partial differential equation (PDE) satisfied by a default-free zero-coupon bond price is derived via a martingale-oriented approach. Using this PDE, a result characterizing a model belonging to an exponential affine class is established using only a system of…
Descriptors: Factor Analysis, Structural Equation Models, Bond Issues, Computation

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