An Assessment Of Workarounds For Spatial Effects In The Case Of Binary Probit
The consequences of spatial effects on discrete choice models have not been well established. Various ad hoc workarounds have been proposed to mitigate potential estimation problems. This paper employs Monte Carlo simulation to investigate the severity of the problems introduced by spatial effects and the effectiveness of the workarounds.
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- Nelson, Gerald & Hellerstein, Daniel, 1997.
"Do roads cause deforestation? Using satellite images in econometric analysis of land use,"
25261, University Library of Munich, Germany.
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- H. Kelejian, Harry & Prucha, Ingmar R., 2001. "On the asymptotic distribution of the Moran I test statistic with applications," Journal of Econometrics, Elsevier, vol. 104(2), pages 219-257, September.
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