S4E18 The Latent Variable Interaction Files
Quantitude
Latent Modified Structural Relations (LMS)
The way products behave is not the same as the variables that went into them. The LMS method tries to work out what would have to be going on at the latent level, including an interaction between two factors. And so if we can fit in our observed variables, a finite mixture of normals, we can actually work our way backwards and figure out how much interaction would have to have been going on for it to give rise to its behavior.
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