Question

A Composite Reliability value indicates high internal consistency when-
It is 0.7 or more
It is 0.7 or less
It is 0.5 or more
Composite reliability does not measure internal consistency at all

Answer 1

A Composite Reliability value indicates high internal consistency when- It is 0.7 or more. It is 0.7 or less. ... Composite reliability does not measure internal consistency

at all.

Answer 2

A Composite Reliability value indicates high internal consistency when it is 0.7 or more.

The reasons are given below:

• The internal organisation of the latent component with several indicators is crucial to reliability.
• In other words, it is 1 - the ratio of error variance to true score variance. It is a measure of the true score to test score variation.
• A "practical" justification, if not a theoretical one, can be made for a reliability of 0.7. A reliability of 0.7 indicates that the measurement items or questions share 49% of the common variation when measuring the latent variable; the remaining portion is measurement error.
• Reliability deals with the internal reliability of measurement (using the common variance of items).
• Therefore, less than half of the common variance of your items can be assigned to the latent factor if the reliability is less than 0.7.
• The items are more likely to measure measurement artefacts of measurement procedures (e.g., method variance) or any confounder that is not truly related to your factor the lower the reliability (e.g., reliability of 0.6 have shared common variation of 36% attributable to the latent factor).
• Therefore, a reliability of 0.7 really indicates that the common variance of your measurement items should be at least 50%.

Hence, a Composite Reliability value indicates high internal consistency when it is 0.7 or more.

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