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Summarizing large spatial datasets: Spatial principal components and spatial canonical correlation

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Author Info

  • Bhupathiraju, Samyukta

    ()
    (UNU-MERIT/MGSoG)

  • Verspagen, Bart

    ()
    (UNU-MERIT/MGSoG, and Maastricht University)

  • Ziesemer, Thomas

    ()
    (UNU-MERIT/MGSoG, and Maastricht University)

Abstract

We propose a method for spatial principal components analysis that has two important advantages over the method that Wartenberg (1985) proposed. The first advantage is that, contrary to Wartenberg's method, our method has a clear and exact interpretation: it produces a summary measure (component) that itself has maximum spatial correlation. Second, an easy and intuitive link can be made to canonical correlation analysis. Our spatial canonical correlation analysis produces summary measures of two datasets (e.g., each measuring a different phenomenon), and these summary measures maximize the spatial correlation between themselves. This provides an alternative weighting scheme as compared to spatial principal components analysis. We provide example applications of the methods and show that our variant of spatial canonical correlation analysis may produce rather different results than spatial principal components analysis using Wartenberg's method. We also illustrate how spatial canonical correlation analysis may produce different results than spatial principal components analysis.

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Bibliographic Info

Paper provided by United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT) in its series MERIT Working Papers with number 011.

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Date of creation: 2013
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Handle: RePEc:unm:unumer:2013011

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Related research

Keywords: spatial principal components analysis; spatial canonical correlation analysis; spatial econometrics; Moran coefficients; spatial concentration;

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Cited by:
  1. Bhupatiraju, Samyukta & Verspagen, Bart, 2013. "Economic development, growth, institutions and geography," MERIT Working Papers, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT) 056, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).

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