Using Spatial Econometric Techniques to Estimate Spatial Multipliers: An Assessment of Regional Economic Policy in Yucatan, Mexico
Although the traditional economic base model remains a useful tool for regional analysis, in a multi-region context it fails to account for feedback effects. In addition, since the model is typically applied to individual regions, formal assessment of variation in the magnitude of regional multipliers is rarely considered. These shortcomings may be addressed by using spatial econometric techniques to model the economic base relationship stochastically. In this study, I incorporate spatial effects into the traditional economic base model and find empirical evidence that economic activity in Yucatan, Mexico generates indirect impacts not only locally, but among other locations that are linked economically. These spatial multipliers may be employed to estimate the potential spillover effects of economic activity and analyze the implications of regional economic policy.
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- A C Vias & G F Mulligan, 1997.
"Disaggregate economic base multipliers in small communities,"
Environment and Planning A,
Pion Ltd, London, vol. 29(6), pages 955-974, June.
- A C Vias & G F Mulligan, 1997. "Disaggregate Economic Base Multipliers in Small Communities," Environment and Planning A, SAGE Publishing, vol. 29(6), pages 955-974, June.
- M. Henry Robison, 1997. "Community input-output models for rural area analysis with an example from central Idaho," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 31(3), pages 325-351.
- Case, Anne C. & Rosen, Harvey S. & Hines, James Jr., 1993. "Budget spillovers and fiscal policy interdependence : Evidence from the states," Journal of Public Economics, Elsevier, vol. 52(3), pages 285-307, October.
When requesting a correction, please mention this item's handle: RePEc:rre:publsh:v:33:y:2003:i:2:p:121-41. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Mark L. Burkey)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.