Value of Rho-A is greater than CR

Questions about the implementation and application of the PLS-SEM method, that are not related to the usage of the SmartPLS software.
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Darkstar
PLS Junior User
Posts: 1
Joined: Sun May 08, 2022 5:27 pm
Real name and title: S. Deshpande

Value of Rho-A is greater than CR

Post by Darkstar »

Dear All,

I have the following observations for one of the reflective latent variables in SmartPLS 3 for a normal PLS-SEM algorithm -

1. Cronbach Alpha and CR are within the range >0.7 and <0.95 with 95% CI values also in the same range and significant at 0.05 level.
2. Rho A value is higher than CR with 95% CI values including 0 but significant at 0.05 level.
3. Outer loadings are all above 0.708 and significant at 0.05 level.

When I examine the bootstrap results (10000 samples, percentile method, one tail) for Rho-A, I can see a wide range of values from 0 to the original value in the bootstrap samples. The same results are also reported with BCa bootstrapping.

1. What could be the probable cause(s) of this issue?
2. Can VIF > 3 (but it is < 5) for the indicators lead to such behavior?
3. Why should Rho-A evaluate to 0 or less than 0.5 values for some of the bootstrap samples?

When I examine the correlation and covariance matrices in SPSS, they are perfectly normal in terms of inter-item correlations and covariances with all items loading onto just 1 underlying factor.

Any help or guidance in understanding the probable causes of this issue would be greatly appreciated.
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