path analysis and maximum likelihood estimation
DESCRIPTION
e. e. 3. 4. b. 3. b. 4. X. X. a. 1. 13. 4. a. 34. s. X. 45. |3. a. 3. 35. a. 23. X. X. 2. 5. b. e. 5. 5. OPTIONAL STEP: center each variable about its mean (X i -X i ). Path analysis and maximum likelihood estimation. - PowerPoint PPT PresentationTRANSCRIPT
STEP 1: write down the causal model as a directed graph
X1
X2
X3
X4
X5
4
5
a13
a23
a34
a35
b3
3
b4
b5
s45|3
OPTIONAL STEP: center each variable about its mean (Xi-Xi)
X1
X2
X3
X4
X5
4
5
a13
a23
a34
a35
b3
3
b4
b5
s45|3
Exogenous variables: variables that have no explicit causes in the model
Endogenous variables: variables that are caused by other variables in the model
X1
X2
X3
X4
X5
4
5
a13
a23
a34
a35
b3
3
b4
b5
s45|3
STEP 2: translate this to a series of structured equations with free parameters
X1=N(0,)
X2=N(0,)
X3=a13X1+a23X2+b33
3=N(0,1)
4=N(0,1)
5=N(0,1)
X4=a34X3+b44 X5=a35X3+b55
Cov(X1,X2)=Cov(X1,3)=Cov(X1, 4)=Cov(X1, 5)= Cov(X2,3)=Cov(X2, 4)=Cov(X2, 5)=Cov(3,4)=Cov(3, 5)=0Cov(4, 5)=45
freeparameter
STEP 3: Derive the predicted variance and covariance between each pair of variables in the model, respecting the constraints implied by the causal graph, using covariance algebra.
=
X1 X2 X3 X4 X5
X1 S1 0 a13S1 a13a34S1 a23a35S1X2 S2 a23S2 a13a34S2 a23a35S2X3 S3 a34S3 a35S3X4 S4 a23S3+
b4b5Cov(4,5)X5 S5
STEP 4: Estimate the free parameters by minimizing the difference between the observed and predicted variances and covariances.
Observedvariances &covariances(S)
Predictedvariances &covariances((free))
Maximumlikelihoodestimation
Estimates of the free parameters (path coefficients,error variances, freecovariances) that make the predicted covariance matrix() as close as possibleto the observed variances and covariances, while respecting the constraintsrequired by d-separation (I.e. the causal structure).
STEP 6: Look at the remaining differences between the observed and predicted covariance matrices, and calculate the probability of having observed this difference, assuming that these differences should be the same except for random sampling variation.
X2ML (maximum likelihood chi-square statistic)
degrees of freedom = V(V+1)/2 - #free parameters
STEP 7: If the calculated probability is less than the chosen significance level (eg 0.05) then the data did not come from this causal process, and the model must be rejected; otherwise the data support the model.
Overall association between X and Y
Effects of causal ancestors on causal
descendents
Direct effects Indirect effects
Effects due to a common causal ancestor
Unresolved causal
relationships
A
B
C
D