t-value

Frequently asked questions about PLS path modeling.
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zd18
PLS Junior User
Posts: 2
Joined: Thu Jul 26, 2018 1:24 pm
Real name and title: zul PLS beginner

t-value

Post by zd18 » Fri Oct 19, 2018 12:43 am

Greetings everyone,

I would like to know how to answer a question raised by a Prof. So my model consists of:

Job satisfaction - Firm performance (Direct relationship) = t-value of 4.56
Job satisfaction - Perceived fairness - Firm performance (Perceived fairness as a mediator) = t-value of 16.89

The question raised was, since job satisfaction showed significance to firm performance, why do we include perceived fairness as a mediator?
Can I respond to that question by looking at the t-values? For e.g. using perceived fairness as a mediator showed a higher t-value; thus a more effective way to achieve high firm performance than the direct relationship of job satisfaction and firm performance alone? Please advise. Thank you.

jmbecker
SmartPLS Developer
Posts: 879
Joined: Tue Mar 28, 2006 11:09 am
Real name and title: Dr. Jan-Michael Becker

Re: t-value

Post by jmbecker » Mon Oct 29, 2018 9:18 am

Comparing the t-values does not make much sense, but generally the t-value of the indirect effects gives you the reason: Because it is significant there seems to be a mediation that explains the direct effect.
I think you should read more about mediation. You can find some useful information and references here: https://www.smartpls.com/documentation/ ... /mediation
Dr. Jan-Michael Becker, University of Cologne, SmartPLS Developer
Researchgate: https://www.researchgate.net/profile/Ja ... v=hdr_xprf
GoogleScholar: http://scholar.google.de/citations?user ... AAAJ&hl=de

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