Rotation to simple loadings using component loss functions: The orthogonal case

Abstract

Component loss functions (CLFs) are used to generalize the quartimax criterion for orthogonal rotation in factor analysis. These replace the fourth powers of the factor loadings by an arbitrary function of the second powers. Criteria of this form were introduced by a number of authors, primarily Katz and Rohlf (1974) and Rozeboom (1991), but there has been essentially no follow-up to this work. A method so simple, natural, and general deserves to be investigated more completely. A number of theoretical results are derived including the fact that any method using a concave CLF will recover perfect simple structure whenever it exists, and there are methods that will recover Thurstone simple structure whenever it exists. Specific CLFs are identified and it is shown how to compare these using standardized plots. Numerical examples are used to illustrate and compare CLF and other methods. Sorted absolute loading plots are introduced to aid in comparing results and setting parameters for methods that require them.