Is that a legitimate way to do factor analysis?

- Thread starter noetsi
- Start date

Is that a legitimate way to do factor analysis?

Just remember to work with the **correlation** as opposed to the covariance matrix because PCA is sensitive to scaling.

It is a continuous variable (spending).

I was not sure using spending for covariance is a legitimate way to find factors

I think Principal Component Analysis is one of the ways SAS does FA.

thanks spunky

I was not sure using spending for covariance is a legitimate way to find factors

I think Principal Component Analysis is one of the ways SAS does FA.

thanks spunky