Director's Cut: Three-way Interactions (More on Moderation) Playlist 6

hello how are you we are back again to produce for you a director's cut another one we've done another one at least before so here here is the next one and what this director's cut concerns is looking at and helping you understand a three-way interaction now the reason that I want to do this with you with a three-way interaction is because again this is a director's cut and so this goes beyond the essence of regression into topics that may not even be covered in let's say a textbook that you're looking at right now but this should be covered I think should be covered in the textbook but often is not because three-way interactions are often found in research they're not as common as two-way interactions and we've talked about those in other video tapes but three-way interactions certainly do appear in research and so you should know how to understand them and how to interpret them the other reason is is again this is a director's cut right so it's the director's cut and in the director's cut we don't fool around so that they'll they'll be lots of text books the lonely goes go as far as the two-way interaction won't approach the three-way interaction but we're gonna do that here so that you can take it a step beyond a level up into a type of interaction that you will often see in research and so you may not find it talked about in your textbook or if you're looking at the statistics tech textbook or many resources out there in the world you may not see them talking about a three-way interaction but you will hear that's what the director's cut is all about alright so let's talk about a three-way interaction let's look at a particular one I'll just put it up here on the bored here just to describe a three-way interaction like you might see it talked about in a research article and so let's say we're looking at an outcome variable so a dependent variable having to do with organizational commitment so that's our DV is organizational well I'm not doing too good here on there and then here I also I don't even down to spell organizational commitment whether it has two M's or two T's this continues to be an ongoing issue but what that says is organizational commitment so that's our DV and let's say we're interested in a three-way interaction now before I talk about the three-way interaction let me talk just briefly about the two-way interaction because there are other videos having to do with moderation which is another way of referring to an interaction and there's also a director's cut on moderation and mediation and in that director's cut as well we're looking at a two-way interaction now we're going to expand it go up a level into a three-way interaction but let's remind us in mind ourselves of what we mean we talk about a two-way interaction so a two-way interaction would be something like this we might look at the interaction of job satisfaction by employee salary as that interaction of job satisfaction by employee salary affects our DV our dependent variable or outcome variable organizational commitment and I've depicted this before with an interaction graph and so let's just take a quick look at what that might look like and so here we have our our focal predictor job satisfaction which goes on the x-axis here and then on our y-axis we have organizational commitment here I'm if I what I've learned in life is that if you're going to do something that's not entirely accurate ly you know spelling something well then at least misspell it consistently so let's go ahead the consistency or reliability is very important even if I'm misspelling or a commitment here as part of organizational commitment so on our y-axis we have organizational commitment and so we're interested in the effect of job satisfaction on organizational commitment and with the two-way interaction we are testing the moderator of salary this is employee salary we'll just refer to it here as salary and we have in fact have us bring that over a little bit so we'll do it over here so these are high salary employees and then these are low salary employees and as we showed before we talked about the two-way interaction in this case job satisfaction by Sal we showed well let's see for the low salary employees we have a strong effect so this is the slope of the effect of job satisfaction on organizational commitment so we have a strong effect let's say of job satisfaction on organizational commitment among low salary among low salary employees but among high salary employees let's say we have no effect so relative to a flat slope let's say this never gets significantly above a flat slope so let's say we have no effect of job satisfaction on organizational commitment among high salary employees ok and we've talked about this before another video tapes about a two-way interaction and specifically we're talking about job satisfaction by salary job satisfaction being the focal predictor looking at its effect on organizational commitment as our dependent variable or outcome variable and then testing the moderator employees salary high salaried employees and low salaried employees and if we get a significant two-way interaction of job satisfaction by salary in this example then we see we have two effects we have two effects not just one effect of job satisfaction on organizational commitment but two effects one for high salary employees and another for well it let me get that right one for low salary employees and the other for high salary employees we have what looks like their strong effect of job satisfaction or commitment among low salary employees but no effect among high salary employees okay so that's what we found for this two-way interaction okay so that's important to know right so we're not thinking about the effect of job satisfaction on organizational commitment as being the same mall employees because we find with the significant two-way interaction of job satisfaction by salary that we actually have two effects in this example a strong effect of job satisfaction on organizational commitment among low salary employees but no effect among high salary employees important for us to know it adds additional complexity to our understanding of the effect of job satisfaction on organizational commitment now let's take it a step further and let's look at a three-way interaction and how that would be understood okay now before I talk with you about three-way interactions you might be wondering well if we can look at three-way interactions why can't we look at like a four-way interaction okay or five boy interaction or a six way interaction okay well you only very rarely see a four-way interaction in the literature in the research literature and I've never seen a five-way interaction maybe I just don't get around much but I've never seen a five-way interaction or six-way interaction okay and I I'm trying to recall in my memory here if I've ever seen a four-way interaction I can't recall right now you know I mean it's very rare and the reason for that is that once you get into four-way interactions not even to mention five ways six way interactions they're getting into interactions in terms of their interpretability that it takes a Spock in mind to understand and of course when I say spocky in mind I'm referring to Spock you played by you know Leonard Nimoy okay and star Trak right okay that character of Spock he could like play I don't know what it was three four five dimensional chess well that's not me and that might be you and if it's you and you can like wrap your head around a four-way interaction then that's great I mean I just I you know I admire your capability in that respect but most of us can't so what you're gonna see in terms of interactions is that it goes as far as a three-way interaction and that's what we're going to talk about now and how to understand it how to interpret it so the first thing that I want you to understand about a three-way interaction grab my eraser here now here we had job satisfaction by salary two-way interaction let's go ahead and make it a three-way interaction okay so I'm gonna add I'm gonna move this over they need more room we're gonna add another predictive variable to the interaction and let us make that positiveness of work environment okay and I'm gonna move now I talked about the dependent variable or the outcome variable I'm gonna move it over here it's organizational commitment okay so now we're going to take a look at a three-way interaction involving the predictive variables job satisfaction by employee salary by positiveness of the work environment okay and that's all I needed to do to get to the three-way interaction was add that additional predictor variable okay and then let's go ahead and look at the different components of the three-way interaction well job satisfaction is going to continue to be our focal predictor okay so that's job satisfaction continues to be our focal predictor and the focal predictor is the predictor variable where we're interested in its effect on the outcome variable on the dependent variable and we want to see in testing moderators and now we have two moderators involved here employee salary and positiveness of work environment we want to see if there's added complexity so we're doing an inquiry into complexity here we want to see if there's added complexity to understanding the effect of job satisfaction on organizational commitment not as one effect across people generally but whether that effect depends on our moderators when we are talking about the two-way interaction we're talking about whether the effect of job satisfaction on organization commitment depended on employee salary in this case higher low okay well now we're gonna go into a three-way interaction so we're adding the predictor variable positiveness of work environment and so now we're asking well does the effect of job satisfaction our focal predictor on organizational commitment depend not only on the salary of the employee but also on the level of positiveness of the work environment so now we're testing two moderators okay let's talk about those moderators salary is a moderator and positiveness of the work environment is a higher order moderator change so we have two moderators that are being tested here salary and positiveness of the work environment this is referred to as the moderator employee salary and here positiveness of the work environment referred to as the higher-order moderator okay now next step when you're looking at a three-way interaction what you're really asking yourself is is whether how the two-way interaction looks in this case of job satisfaction by salary depends on the positiveness of the work environment or the higher order moderator okay so let me repeat that again because that's really important for you to start to understand but then we'll provide some example we'll provide a very an illustration here which will which will make it clear so what we're asking and it's a good way to think about this as we get into the three-way interaction and how to interpret it is we're asking whether the two-way interaction of job satisfaction by employee salary we're asking whether how that two-way interaction looks whether it depends on the level of the higher order moderator in this case positiveness of work environment so that's what we're asking here okay well let's say that we get a significant three-way interaction job satisfaction by salary by positiveness of work environment what that is saying is that our two-way interaction which is included within the three-way interaction okay right here that how the two-way interaction looks depends on the level of the higher order moderator in this case the level higher low of positiveness of work environment so how might that look in an illustration tell you right now here we have job satisfaction our focal predictor on the x-axis here we have organizational commitment on the y-axis and we have a particular way at the two-way interaction which again is included within the three-way interaction a particular way that it looks and so we go ahead and we have our moderator salary and here keep going to bring that over hi salaried employees and here we have low salaried employees and that the two-way interaction looks this particular way within a high positive work environment all right so here's our level of our higher order moderator positiveness of work environment we have a high positive or a highly positive work environment and within highly positive work environments the two-way interaction looks like this let's say that for high salaried employees we have little or no effect let's say there's no effect here and then we look at low salaried employees and will that be like this right there's also no effect so the lines are parallel in this example so here for our two-way interaction it turns out that we don't have an effective job satisfaction on organizational commitment for high salary employees and we also don't have an effect of job satisfaction on organizational commitment among low salary employees we don't find an effect for employees and the employees at least as far as their salary is concerned of job satisfaction on organizational commitment within highly positive work environments but now the two-way interaction or actually not finding an effect for any of our employees of job satisfaction on organizational commitment again within highly positive work environments well that changes when we look at low positive so negative work environments within lo+ work environments so negative work environments not nice places to work there we find when we look at the two-way interaction of job satisfaction by salary here we have job satisfaction as our focal predictor on the x-axis and on the y-axis we have organizational commitment and we're looking at the moderator salary and we have high salary employees and low salary employees and here we find that for high salary employees we continue to not have an effect of job satisfaction on organizational commitment but among low salary employees we have a strong effect of job satisfaction on organizational commitment ok so now what we're learning is that the different effects that we see between high and low salaried employees of job satisfaction an organizational commitment emerges within low positive or negative work environments but within highly positive work environments we don't have any effect at all of job satisfaction on organizational commitment so here we find that the way the two-way interaction job satisfaction by salary the way it looks well we have no effect regardless of the salary of the employee on job satisfaction on organizational commitment or here how the two-way interaction looks well we have no effect of job satisfaction on organizational commitment among our high salaried employees but we have a strong effect among our low salaried employees so now we have a difference in a fact of job satisfaction and organizational commitment well it depends on the level of the higher order moderator high positive work environment versus low positive or negative work environment okay now this can you know look different ways right I mean it doesn't have to look this particular way so we can change this but however we change it the point is is that how this two-way interaction part of the three-way interaction how that two-way interaction looks depends on the level of the higher order moderator okay so it's different depending on the level of the higher order moderator that's the point okay so perhaps within a high positive work environment we have a strong effect of job satisfaction on organizational commitment and we have an effective job satisfaction on organizational commitment among low salary employees but it's significantly weaker and then over here we go to the level of our higher order moderator that's low positive or negative work environment here we find that we have well actually we need this to have it the way we had it before right so this would be different so we'd have from what we have over here here we have a strong effect of job satisfaction on organizational commitment among our low salaried employees we'll just do it like we did it before but no effect of job satisfaction on organizational commitment among our high salaried employees so the way this two-way interaction looks job satisfaction by salary that particular part of the three-way interaction how that two-way interaction job satisfaction by salary how it looks is different here showing a strong effect of job satisfaction on organizational commitment among high salaried employees and an effect among low salaried employees but weaker than we see for high salaried employees but when we look at low positive or negative work environments here we find a different looking two-way interaction of job satisfaction by salary here under low positive or negative work environment we find a strong effect of job satisfaction on organizational commitment among low salaried employees but no effect among high salaried employees ok so that's how you interpret a significant three-way interaction you look for that particular part of it that represents the two-way interaction and that's the interaction of the focal predictor by the moderator in this case job satisfaction by salary and we have a significant three-way interaction you know that how that two-way interaction looks differs depending on the level of the higher order moderator in this case whether we're talking about a high positive work environment or a low positive or negative work environment all right so now you know about three-way interactions right here and you know to how to interpret them you look for that part of the three-way interaction that represents the two-way interaction and if you get a significant three-way interaction what you know is that that two-way interaction depends on the level of the higher order moderator and that gives you your entire three-way interaction so now you know about three-way interactions and how to interpret them representing a still higher level of an inquiry into complexity when it concerns the effects of the focal predictor on the dependent variable and you have a good one

Channel: The Essence of Regression

Views: 1,429

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Id: elwpqmkYgOY

Length: 31min 36sec (1896 seconds)

Published: Tue Apr 09 2019