In this paper, we assess the Fujita, Krugman and Venables (FKV) nonlinear model of wage differentials. Using a spatial econometric model incorporating a spatial autoregressive error process, we estimate a quadratic form using cross-sectional data for 98 countries from 1970 to 2000. The evidence...

Panel models are popular models in applied sciences and the question of spatial errors has recently created the demand for spatial system estimation of panel models. In this paper we propose new diagnostic methods to explore if and how the spatial components will make significant differences of...

This paper explores the properties of pre-test strategies in estimating a linear Cliff–Ord-type spatial model when the researcher is unsure about the nature of the spatial dependence. More specifically, the paper explores the finite sample properties of the pre-test estimators introduced in...

We apply methods of exploratory spatial data analysis (ESDA) and spatial regression analysis to examine intercounty variation in child poverty rates in the US. Such spatial analyses are important because regression models that exclude explicit specification of spatial effects, when they exist,...