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Spatial Patterns in Household Demand

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  • Case, Anne C

Abstract

This paper discusses economic processes that may give rise to spatial patterns in data and explores the relative merits of alternative modeling approaches when data are spatially correlated. An estimation scheme is presented that allows for spatial random effects and attention is focused on cases in which such a framework may be preferred to the more general fixed effects framework that nests it. The models presented are used together with information on the location of households in an Indonesian socioeconomic survey to test spatial relationships in Indonesian demand for rice. Copyright 1991 by The Econometric Society.

Suggested Citation

  • Case, Anne C, 1991. "Spatial Patterns in Household Demand," Econometrica, Econometric Society, vol. 59(4), pages 953-965, July.
  • Handle: RePEc:ecm:emetrp:v:59:y:1991:i:4:p:953-65
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