Specify latent factors to capture shared unmeasured confounders between numerator and denominator processes. Latent factors are particularly useful when you suspect that both processes are driven by common unmeasured variables.
Examples
latent_factor(n_factors = 2)
#> Latent factor specification
#> ===========================
#>
#> Number of factors: 2
#> Shared: Yes (loads on both num and denom)
#> Constraint: sum_to_zero
#>
#> Diagonal loading prior:
#> PC prior: P(x > 1.00) = 0.010
#> => Exponential(4.605)