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** YOU NEED TO HAVE THE PROGRAM SPSS FOR THIS AND KNOW HOW TO USE IT***
Please use the ‘Santa Fe’ file to develop an index for the risk seeking of customers.
First, write down in a Word document your own list of indicator variables from the questionnaire that might be correlated with the latent variable “Risk-Seeking”. Then follow the procedure as discussed (reverse score variables if necessary, standardize them, and sum them up). Call the resulting variable “IndexRisk”, and send me a Word document that includes the list of indicator variables, plus the the mean, standard deviation, skewness and kurtosis of the latent variable “Indexrisk”, plus a chart of the distribution of “Indexrisk”.
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