Cadogan and Lee (this issue) discuss the problems inherent in modeling formative latent variables as endogenous. In response to the commentaries by Rigdon (this issue) and Finn and Wang (this issue), the present article extends the discussion on formative measures. First, the article shows that...

Researchers often develop and test conceptual models containing formative variables. In many cases, these formative variables are specified as being endogenous. This article provides a clarification of formative variable theory, distinguishing between the formative latent variable and the...

Purpose – To clarify the nature of the error term in formative measurement models, as it had been misinterpreted in prior research. Design/methodology/approach – The error term in formative measurement models is analytically contrasted with the measurement errors typically found in...

Purpose – Higher-order factor models have recently been dismissed as a ‘misleading’, ‘meaningless’, and ‘needless’ approach for modeling multidimensional constructs (Lee and Cadogan, 2013; L & C, 2013 hereafter). The purpose of this paper is to show that – in contrast to L & C’s...