We just submitted a new paper on latent variable modeling with causal mediator models when unobserved confounding is present in the data. We provide evidence that the new g-estimation based estimator is robust to confounding and highlight finite sample size properties. We posted a preprint on arxiv.org
Morelli, S., Faleh, H. & Brandt, H (submitted). RAPSEM: Identifying Latent Mediators Without Sequential Ignorability via a Rank-Preserving Structural Equation Model. Article Github