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In the above example higher education is the independent
variable and high income is the dependent variable. Here better
occupation is the intervening variable between the two because it
is causally affected by education and it itself affects the income.
II. Moderating Variables

Moderating variables moderate the relationship and affect
the strength and direction between independent and dependent
variables. It is the degree to which association between the ◆ Affect relationship
between variables
independent variable and dependent variable changes as a function
of the third variable moderating variable. The dependent variable
may change under different conditions. That condition is called
the Moderator variable.

Example:

Figure 3.1.3 Moderating Variable

In the above example teaching skill is the independent variable
and performance of the students is the dependent variable.
Improvement in the teaching skill increases the performance
of the students. The relationship between teaching skills and
performance of the students is strengthened by the moderating
variable infrastructural facility in the class. The relationship will
be weaker with low infrastructural facility and higher with good
infrastructural facility.
III. Extraneous Variable

In addition to the independent variable, several other factors
operating in real-life situations can affect changes in the dependent
variable. These factors, not measured in the study, can increase or

SGOU - SLM - MCom Research Methodology 89