Rating scale categories should be well defined, mutually exclusive, univocal and exhaustive (J.P. Guilford), but this is not enough. They must also be clearly differentiated in the behavior of the respondents, otherwise more categories do not mean more information. Here is an apparently well constructed scale:
How much do you fear...
1. Not at all
2. A little
3. Somewhat
4. More
5. A lot
But could the respondents clearly discriminate 5 levels of fear? The plot shows the statistical separation of the respondents obtained when adjacent categories are clumped together. Person separation is best with the categories grouped into 3 levels, and one of the dichotomizations is almost as good as the original five category scale. The choice of scoring model can dramatically alter results. The statistically best scoring model for these data was:
How much do you fear...
1. Not at all
2. A little
3. Somewhat, More, A lot
Mark Stone & Ben Wright
Maximizing rating scale information. Stone MH, Wright BD. Rasch Measurement Transactions, 1994, 8:3 p.386
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