Journal article

Restricted Variance Interaction Effects: What They Are and Why They Are Your Friends

JM Cortina, T Koehler, KR Keeler, BB Nielsen

Journal of Management | SAGE Publications | Published : 2019

Abstract

Although interaction hypotheses are increasingly common in our field, many recent articles point out that authors often have difficulty justifying them. The purpose of this article is to describe a particular type of interaction: the restricted variance (RV) interaction. The essence of the RV interaction is that, as the value of one variable in a system changes, certain values of another variable in the system become less plausible, thus restricting its variance. This, in turn, influences relationships between that variable and other variables. These types of interactions are quite common, even if they are not recognized as RV interactions, and they exist at every level of analysis. The adva..

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University of Melbourne Researchers

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Funding Acknowledgements

We wish to express our gratitude to Ernest O'Boyle and two anonymous reviewers for their insightful comments. Work on the article was supported by the University of Melbourne's Faculty of Business and Economics and by the University of Sydney Business School.