Factor Loading Estimation Error and Stability Using Exploratory Factor Analysis

Exploratory factor analysis (EFA) is commonly employed to evaluate the factor struc-ture of measures with dichotomously scored items. Generally, only the estimated fac-tor loadings are provided with no reference to significance tests, confidence intervals, and/or estimated factor loading standard errors. This simulation study assessed fac-tor loading estimation error under several experimental conditions and whether hypothesis testing and/or confidence intervals should be employed. Results revealed that the promax rotation performed well with small interfactor correlations and simple structure data, whereas varimax only performed well with orthogonal factors. Neither rotation method performed well with larger interfactor correlations or approximate simple structure data. An explanation of these results is provided. Keywords exploratory factor analysis, estimation error, factor loading standard errors, power, Type I error, rotation Within exploratory factor analysis (EFA), a significant amount of literature exists to guide researchers when selecting (a) an appropriate sample size (e.g., Hogarty, Hines