Can We Trust Cluster-Corrected Standard Errors? An Application of Spatial Autocorrelation with Exact Locations Known

Standard error corrections for clustered samples impose untested restrictions on spatial correlations. Our example shows these are too conservative, compared with a spatial error model that exploits information on exact locations of observations, causing inference errors when cluster corrections are used.

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Year of publication:	2010-08-18
Authors:	Gibson, John ; Kim, Bonggeun ; Olivia, Susan
Institutions:	Department of Economics, Waikato Management School
Subject:	clustered samples \| GPS \| spatial correlation

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Extent:	application/pdf
Series:	Working Papers in Economics.
Type of publication:	Book / Working Paper
Language:	English
Notes:	9 pages
Classification:	C31 - Cross-Sectional Models; Spatial Models ; C81 - Methodology for Collecting, Estimating, and Organizing Microeconomic Data
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10008727275