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Rasch model is one of the psychometric models. It helps us create measures. The most famous application of Rasch model can be found in large education data sets, such as TIMSS and NELS, in the forms of student academic achievement scores. Rasch model can also create attitudinal scales, such as student engagement level or liking of math. We all need to be aware that Rasch model can get us good scales only when we design test items and surveys carefully.
My way of Understanding Rasch Model
3 minute Rasch explanation to someone who at least knows what OLS regression is. My Rasch Essay--I show how you may also experience "aha" moment if you see how Rasch model is related to logistic regression or HLM (actually HGLM or multilevel logistic regresssion).
One way to strengthen your understanding of Rasch model: Study a residual file from Winsteps (by specifying xfile=filename) and try to confirm how each column of information is derived (and understand how each variable in this file is interrelated). Read sample winstep file