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t-value

Posted: Fri Oct 19, 2018 12:43 am
by zd18
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.

Re: t-value

Posted: Mon Oct 29, 2018 9:18 am
by jmbecker
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