How to check multicollinearity

indrawati · Post by **indrawati** » Tue Sep 13, 2011 4:07 am

Dear all,

Multicollinearity is a problem in any regression, including in PLS?

How to check the existence of multicollinearity? how to solve it.

Thank you

Regards

alialashwal · Post by **alialashwal** » Sat Oct 08, 2011 12:48 pm

As SmartPLS is not provided with this function, you can simply use SPSS to get the VIF (not more than 10 according to some references). A new PLS software can indicate multicollinearity called WarpPLS..

Regards,

indrawati · Post by **indrawati** » Sun Oct 09, 2011 1:16 pm

Dear Ali,

Thanks for the info. How to get Warp PLS?

I have check multicall through SPSS but I am not so sure with the process I did.

Can you send me the step?
I have 8 constructs with 53 items, each construct has 4 to 8 items. How to correlate the construct. Should I add the items of each construct and find the average of each construct than correlate the average of each constucts by using SPSS?

Thank you

Regards

iin

alialashwal · Post by **alialashwal** » Mon Oct 10, 2011 1:54 am

Dear iin,

Well, to conduct the test you go to Analyze - Regression - Linear. Then you assign one of the variables in one construct as a dependent variable then you assign the rest of variables (of the same construct) as independents. In statistic box don't forget to tick on collinearity diagnostic, then hit OK.. You will get the output and you can notice the value of VIF as well as the Eigenvalue. You have to do this process again and this time choose different dependent variable instead of the first one you used first and put it with the independents..

I think choosing whether you want to chick muticollinarty for one or all of your constructs together will depend on your objectives..

Ali