I am trying to understand how parameter estimates in structural models are calculated. I have searched through various SEM textbooks, journal articles, etc. and have not found a good description of how the sample input data is used to calculate these values.
What I generally see and what I understand (I think) is that assuming multivariate normality, maximum likelihood (ML) is used on the sample data. ML analyzes the sample covariance matrix and compares it to the implied covariance matrix (created following model specification). ML outputs the model fit indices AND outputs the parameter estimate values, standard error values, a t-value (critical ratio) and p-value of the corresponding critical ratio.
While I can quite easily find the various formulas for the fit indices, I can not seem to find and formula that explains how the parameters estimates (or as AMOS refers to them, Regression Weights) are calculated.
Any information in regards to an equation, or maybe a better explanation for me to understand how these estimates are made I would really appreciate it!