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But here’s where the ingenuity of path coefficients really shines. Wright’s methods tell us how to express each of the measured correlations in terms of the path coefficients. After doing this for each of the measured pairs (P, X), (L, X), and (L, P), we obtain three equations that can be solved algebraically for the unknown path coefficients, p, l′, and l × q.
The Book of Why: The New Science of Cause and Effect
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