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For the purpose of extracting factors from matrices, it is proved that a certain formula is both necessary and sufficient. In factor analysis, the formula may be applied either to the correlation matrix, or directly to the score matrix (assuming the communality problem is solved). As many factors as desired can be extracted in one operation. Having such a compact formulation is useful for teaching as well as computing purposes, since it includes all techniques of factor extraction as special cases.
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Louis Guttman (1957) studied this question.
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