Latent and observable variables: Difference between revisions

Revision as of 16:08, 19 May 2025

Latest revision as of 16:11, 19 May 2025

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===Economics===

{{unreferenced section|date=January 2024}}

Examples of latent variables from the field of [[economics]] include [[quality of life]], business confidence, morale, happiness and conservatism: these are all variables which cannot be measured directly. ButHowever, by linking these latent variables to other, observable variables, the values of the latent variables can be inferred from measurements of the observable variables. Quality of life is a latent variable which cannot be measured directly, so observable variables are used to infer quality of life. Observable variables to measure quality of life include wealth, employment, environment, physical and mental health, education, recreation and leisure time, and social belonging.

===Medicine===