TY - JOUR
T1 - When your errors are your only hope
T2 - Testing “hidden hypotheses” in mediation studies in strategic management
AU - DeVaro, Jed
AU - Boyd, Brian K
PY - 2016/2
Y1 - 2016/2
N2 - Mediation models involve two regression equations, one each for the dependent and mediating variables, Y and M. Tests of theoretical hypotheses in strategic management focus on “betas,” that is, the estimated regression coefficients in the Y and M equations. A neglected point is that strategic management theory sometimes suggests a “hidden hypothesis” concerning the sign of the error correlation between the Y and M regressions. Systems-based estimation methods can be used to test “hidden hypotheses.” We show that sometimes “hidden hypotheses” offer the only hope of empirically distinguishing between competing theories.
AB - Mediation models involve two regression equations, one each for the dependent and mediating variables, Y and M. Tests of theoretical hypotheses in strategic management focus on “betas,” that is, the estimated regression coefficients in the Y and M equations. A neglected point is that strategic management theory sometimes suggests a “hidden hypothesis” concerning the sign of the error correlation between the Y and M regressions. Systems-based estimation methods can be used to test “hidden hypotheses.” We show that sometimes “hidden hypotheses” offer the only hope of empirically distinguishing between competing theories.
KW - mediating effects
KW - mediation
KW - systems-based estimation methods
KW - three-stage least squares (3SLS)
UR - http://www.scopus.com/inward/record.url?scp=84957824418&partnerID=8YFLogxK
UR - https://www.scopus.com/record/pubmetrics.uri?eid=2-s2.0-84957824418&origin=recordpage
U2 - 10.1177/1476127015604511
DO - 10.1177/1476127015604511
M3 - RGC 21 - Publication in refereed journal
SN - 1476-1270
VL - 14
SP - 73
EP - 89
JO - Strategic Organization
JF - Strategic Organization
IS - 1
ER -