(Path Analysis)
1- Testing the adequacy of a model in path analysis usually involves comparing the predicted correlations
among the variables based on using the speculated model to their empirical values from the observed
data.
In your opinion, what conclusion(s) one can arrive to from this comparison? What cautionary point(s)
would you give to researchers when assessing model fit?

(Factor Analysis)
2- In the factor analysis, application paper, titled “A Consumer Values Orientation for Materialism and Its
Measurement: Scale Development and Validation” the authors final results of factor analysis was three
factors based on eighteen items from a total of thirty items that were included in the scale development
of the construct “Materialism”.
In your opinion, do you think the authors provided enough evidence to support their argument of
having three factors to represent the concept of “Materialism”? Explain. What speculations one might
have about the remaining twelve items of the original thirty items included in the factor analysis?