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August 30, 2026Journal of Educational and Behavioral StatisticsOpen Access

Do I Even Need a Multilevel Model? Negligible Effect Significance Testing for Intraclass Correlation Coefficients

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Authors

DLDayeon LeeGHGregory R. Hancock

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Overview

Methodological study demonstrates equivalence testing for intraclass correlation coefficients in clustered data, indicating a formal inferential alternative to rule-of-thumb thresholds.

Key Points

  • To develop a formal inferential framework using negligible effect significance testing for intraclass correlation coefficients to guide decisions on using multilevel models.
  • Formulated an equivalence testing approach for the unconditional intraclass correlation coefficient (ICC) based on an F-statistic pivotal quantity.
  • Established quantitative criteria using the design effect to define negligible ICC boundaries based on tolerable variance inflation.
  • Provided an open-source R implementation illustrating the computation and application of the proposed hypothesis test.
  • Shows that comparing point estimates to arbitrary cutoffs (e.g., 0.05) fails to account for sampling error and lacks inferential validity.
  • Establishes a rigorous statistical procedure to determine if clustering is negligible enough to safely forgo multilevel modeling.

Cite This Study

Lee et al. (2026) studied this question.

synapsesocial.com/papers/6a93efe56c1a8fb52e79bf48https://doi.org/10.3102/10769986261478956
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Also Consider

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  3. 3Robust Permutation Test of Intraclass Correlation Coefficient for Assessing Agreement2025
  4. 4Model-based effect sizes for multilevel linear regression coefficients [Author Accepted Manuscript]2026
  5. 5Sample size determination for hypothesis testing on the intraclass correlation coefficient in a two‐way analysis of variance model2025 · 1 citations