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{{Short description|Statistical model relating manifest and latent variables}}
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A '''latent variable model''' is a [[statistical model]] that relates a set of [[observable variable]]s (also called ''manifest variables'' or ''indicators'')<ref>{{Cite web |title=Latent Variable Models |url=https://www.statistics.com/glossary/latent-variable-models/ |url-status=live |archive-url=https://web.archive.org/web/20221101060559/https://www.statistics.com/glossary/latent-variable-models/ |archive-date=2022-11-01 |access-date=2022-11-01 |website=Statistics.com: Data Science, Analytics & Statistics Courses |language=en-US}}</ref> to a set of [[latent variable]]s. Latent variable models are applied across a wide range of fields such as biology, computer science, and social science.<ref>{{Cite journal |last=Blei |first=David M. |date=2014-01-03 |title=Build, Compute, Critique, Repeat: Data Analysis with Latent Variable Models |url=https://www.annualreviews.org/doi/10.1146/annurev-statistics-022513-115657 |journal=Annual Review of Statistics and Its Application |language=en |volume=1 |issue=1 |pages=203–232 |doi=10.1146/annurev-statistics-022513-115657 |bibcode=2014AnRSA...1..203B |issn=2326-8298}}</ref> Common use cases for latent variable models include applications in [[psychometrics]] (e.g., summarizing responses to a set of survey questions with a [[factor analysis]] model positing a smaller number of psychological attributes, such as the trait [[Extraversion and introversion|extraversion]], that are presumed to cause the survey question responses),<ref>{{Cite journal |last1=Borsboom |first1=Denny |last2=Mellenbergh |first2=Gideon J. |last3=van Heerden |first3=Jaap |date=April 2003 |title=The theoretical status of latent variables. |url=https://doi.apa.org/doi/10.1037/0033-295X.110.2.203 |journal=Psychological Review |language=en |volume=110 |issue=2 |pages=203–219 |doi=10.1037/0033-295X.110.2.203 |pmid=12747522 |issn=1939-1471|url-access=subscription }}</ref> and [[natural language processing]] (e.g., a [[topic model]] summarizing a corpus of texts with a number of "topics").<ref>{{Cite journal |last1=Blei |first1=David M. |last2=Ng |first2=Andrew Y. |last3=Jordan |first3=Michael I. |date=2003 |title=Latent dirichlet allocation |url=https://dl.acm.org/doi/10.5555/944919.944937 |journal=J. Mach. Learn. Res. |volume=3 |issue=3/1/2003 |pages=993–1022 |issn=1532-4435}}</ref>
 
It is assumed that the responses on the indicators or manifest variables are the result of an individual's position on the latent variable(s), and that the manifest variables have nothing in common after controlling for the latent variable ([[local independence]]).
 
Different types of the latent variable models can be grouped according to whether the manifest and latent variables are categorical or continuous:<ref>{{cite book |firstfirst1=David J. |lastlast1=Bartholomew |authorlink=D. J. Bartholomew |first2=Fiona |last2=Steel |authorlink2=Fiona Steele |first3=Irini |last3=Moustaki |first4=Jane I. |last4=Galbraith |year=2002 |title=The Analysis and Interpretation of Multivariate Data for Social Scientists |___location= |publisher=Chapman & Hall/CRC |page=145 |isbn=1-58488-295-6 }}</ref>
 
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In [[factor analysis]] and [[latent trait analysis]]{{refn|group=note|name=LTAandIRT| The terms "latent trait analysis" and "item response theory" are often used interchangeably.<ref>{{Cite web |first=John |last=Uebersax |title=Latent Trait Analysis and Item Response Theory (IRT) Models |url=http://www.john-uebersax.com/stat/lta.htm |url-status=live |archive-url=https://web.archive.org/web/20221101072029/http://www.john-uebersax.com/stat/lta.htm |archive-date=2022-11-01 |access-date=2022-11-01 |website=John-Uebersax.com |language=en-US}}</ref>}} the latent variables are treated as continuous [[normal distribution|normally distributed]] variables, and in latent profile analysis and latent class analysis as from a [[multinomial distribution]].<ref>{{cite book |last=Everitt |first=BS |title=An Introduction to Latent Variables Models |year=1984 |publisher=Chapman & Hall |isbn=0-412-25310-0 }}</ref> The manifest variables in factor analysis and latent profile analysis are continuous and in most cases, their conditional distribution given the latent variables is assumed to be normal. In latent trait analysis and latent class analysis, the manifest variables are discrete. These variables could be dichotomous, ordinal or nominal variables. Their conditional distributions are assumed to be binomial or multinomial.
 
Because the distribution of a continuous latent variable can be approximated by a discrete distribution, the distinction between continuous and discrete variables turns out not to be fundamental at all. Therefore, there may be a psychometrical latent variable, but not a [[psychology|psychological]] psychometric variable.{{Clarify|reason=Not clear how a "psychometrical latent variable" is different from "psychological psychometric variable".|date=November 2022|text=Give example of "psychometrical latent variable" and "psychological psychometric variable"|pre-text=|post-text=}}{{Citation needed|date=November 2022}}
 
==See also==
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== Further reading ==
* {{cite book |firstfirst1=Anders |lastlast1=Skrondal |first2=Sophia |last2=Rabe-Hesketh |authorlink2=Sophia Rabe-Hesketh |title=Generalized Latent Variable Modeling |___location= |publisher=Chapman & Hall |year=2004 |isbn=1-58488-000-7 }}
 
{{DEFAULTSORT:Latent Variable Model}}