DEFINITION of 'Manifest Variable'
A variable that can be directly measured or observed. It is the opposite of a latent variable, which can not be directly observed. Manifest variables are used in latent variable statistical models, which test the relationships between a set of manifest variables and a set of latent variables. Manifest variables are considered either continuous or categorical (a countable range).
BREAKING DOWN 'Manifest Variable'
Statisticians use several different analysis tests when examining manifest variables and latent variables. The four most frequently used models are factor analysis, latent trait analysis, latent profile analysis, and latent class analysis. Which model is ultimately used depends on whether the manifest variables are continuous or categorical, and whether the latent variables are continuous or categorical.

Variability
The extent to which data points in a statistical distribution ... 
Random Variable
A variable whose value is unknown or a function that assigns ... 
Variable Cost Ratio
Variable costs expressed as a percentage of sales. The variable ... 
Shadowing
The process of creating values for variables that don't rely ... 
Correlation Coefficient
A measure that determines the degree to which two variable's ... 
Endogenous Variable
A classification of a variable generated by a statistical model ...

Investing
What's a Sensitivity Analysis?
Sensitivity analysis is used in financial modeling to determine how one variable (the target variable) may be affected by changes in another variable (the input variable). 
Economics
Understanding Regression
Regression is a statistical analysis that attempts to predict the effect of one or more variables on another variable. 
Investing News
Stock and Flow Variables Explained: A Closer Look at Apple
The difference between stock and flow variables is an essential concept in finance and economics. We illustrate with financial statements from Apple Inc. 
Retirement
Variable Annuity Basics
Find out how variable annuities can help you plan for retirement by offering the returns of the stock market with the guarantee of insurance. 
Financial Advisors
Variable Annuities: The Pros and Cons
Variable annuities are one of the most complicated financial instruments. Here is an in depth look at their pros and cons. 
Investing
Variable Costs
Variable costs go up when a company produces more goods or services, and go down when it produces fewer goods or services. This is compared to fixed costs, which do not change in proportion to ... 
Retirement
Are You Buying Annuities Or Mutual Funds?
Investing a client's money in variable annuties is becoming a target for criticism. 
Active Trading
What's the Correlation Coefficient?
The correlation coefficient is a measure of how closely two variables move in relation to one another. If one variable goes up by a certain amount, the correlation coefficient indicates which ... 
Fundamental Analysis
Explaining Linear Relationships
A linear relationship describes the proportionality between an independent variable and a dependent variable. 
Fundamental Analysis
Scenario Analysis Provides Glimpse Of Portfolio Potential
This statistical method estimates how far a stock might fall in a worstcase scenario.

What variables are most important when making a prediction through sensitivity analysis?
Explore sensitivity analysis and how this method considers different variables to determine a course of action based on statistical ... Read Answer >> 
What is the difference between direct costs and variable costs?
Learn about variable costs and direct costs, how direct costs and variable costs are classified and the differences between ... Read Answer >> 
What are the variables in variable costs?
Learn about variable costs. Explore how and why these costs may fluctuate, as well as ways in which they may differ from ... Read Answer >> 
Which is wiser, rolling over my traditional IRA to variable annuity or vice versa? ...
I am 46 years old. I have a traditional IRA and Variable Annuity. What will it cost me to roll either way? ... Read Answer >> 
How are variable annuities regulated?
Discover the various rules that the Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority ... Read Answer >> 
How liquid are variable annuities?
Understand whether variable annuities are liquid. Learn more about the two types of variable annuities and which is more ... Read Answer >>