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A suggested method of estimation for spatial interdependent models with autocorrelated errors, and an application to a county expenditure model

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Papers in Regional Science

Abstract

The purpose of this paper is two-fold. First, we describe an estimation procedure that should be useful for spatial models which contain interactions between the dependent variables and autocorrelated error terms. Second, we apply that procedure to a spatial model relating to county police expenditures. Our estimation procedure does not require the specification of the error distribution, and its computational burden is modest. Large sample results are given.

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Authors and Affiliations

  1. Department of Economics, University of Maryland, 20742, College Park, Maryland, USA

    Harry H. Kelejian

  2. Institute for Water Resources, U.S. Army Corps of Engineers, 22060, Fort Belvoir, Virginia, USA

    Dennis P. Robinson

Authors
  1. Harry H. Kelejian
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  2. Dennis P. Robinson
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Kelejian, H.H., Robinson, D.P. A suggested method of estimation for spatial interdependent models with autocorrelated errors, and an application to a county expenditure model. Papers in Regional Science 72, 297–312 (1993). https://doi.org/10.1007/BF01434278

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  • DOI: https://doi.org/10.1007/BF01434278

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