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Indicator: Methodology


Bollen, Kenneth A. & Bauldry, Shawn (2015). Indicator: Methodology.. Wright, James D. (Ed.) (pp. 750-754). Oxford, England: Elsevier Press.


The term ‘indicator’ refers to a variable that is an imperfect representation of a social science concept. First, this article distinguishes different types of indicators (effect, causal, and composite indicators). Second, it describes the construction of measurement models, which are models that specify the links between latent variables (representations of social science concepts) and their indicators. Attention is given to the major questions that must be answered when formulating a measurement model. Third, this article reviews the properties of continuous and categorical indicators. Finally, the article provides an overview of the guidelines for developing and/or selecting indicators in empirical analyses.


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Bollen, Kenneth A.
Bauldry, Shawn