“Even measures with perfect validity can be rendered useless if they are interpreted incorrectly, and anecdotal evidence suggests that teaching evaluations are frequently the subject of unwarranted interpretations based on assumed levels of precision that they do not possess.” (p. 641) And now there's some research verifying that faculty and administrators do make unwarranted interpretations. “We investigated if differences in teaching evaluations that are small enough to be within the standard error of measurement would still have significant effects on judgments made about teachers.” (p. 641)
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