ABSTRACT
This chapter focuses on manifest variables and how they are related in the structural model. Path analysis is a method of estimating coefficients in the structural model that was originally invented by Sewall Wright. In the original articles and subsequent developments, path analysis focused on the decomposition of effects based on correlations or standardized variables. The mediation models are extended to include more than one mediator, more than one independent variable, and more than one dependent variable. There are two types of models in covariance structure analysis, the measurement model and the structural model. There are two more specifications in the covariance structure analysis model that must be made for the accurate estimation of the two-mediator model. The regression coefficients and standard errors from the two-mediator model analysis are used to illustrate the matrix formulas for the calculation of indirect effects and their standard errors.
