Products of Variables in Structural Equation Models

A general method is introduced in which variables that are products of other the context a structural equation model (SEM) can be decomposed into sources variance due to multiplicands. The result new category SEM we call Products Variables Model (PoV). Some useful and practical features PoV models include estimation interactions between latent variables, variable moderators, manifest moderators with missing values, or squared terms. Expected means covariances analytically derived for simple product two it shown reproduces previously published results this special case. It algebraically using centered multiplicands an unidentified model, but if have non-zero means, identified. has been implemented OpenMx Ωnyx applied five extensive simulations.