AVE value for second order Structural Equation Method

[Debjani Bhattacharya]

Hi , I am a research scholar working on second order SEM. The result I have obtained for the second order SEM shows >0.7 composite reliability score but the AVE value is < 0.5. The CR value is >1.96. Based on these values can I conclude that the hypothesis is supported? I need help badly.

[Sunny Bose]

Hi,

With an AVE score of less than 0.5 and a CR Value which is lesser than 2.00 (assuming you would have mentioned 2 had it been greater than that) the model could raise a few eye brows. In this regard, just check what the fit indices and the RMSEA suggest. I don’t know your model but going by what u have mentioned, the model is not looking very robust.

[Debjani Bhattacharya]

Hi,

Thank you so much Sunny. My model is a service quality model for e-government. The CR values and AVE values for first order factors and model fit indices are well within acceptable range. Model fit indices and RMSEA of the second order model are also showing acceptable values but I am facing problem of low validity (AVE <0.5 ) for first order sub dimensions. The CR values are okay as I mentioned earlier. Will the model be judged only on the basis of validity when all other parameters are well within acceptable range?

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