Is a matrix exponential specification suitable for the modeling of spatial correlation structures?

ABSTRACT: This paper investigates the adequacy of the matrix exponential spatial specifications (MESS) as an alternative to the widely used spatial autoregressive models (SAR). To provide as complete a picture as possible, we extend the analysis to all the main spatial models governed by matrix exponentials comparing them with their spatial autoregressive counterparts. We propose a new implementation of Bayesian parameter estimation for the MESS model with vague prior distributions, which is shown to be precise and computationally efficient. Our implementations also account for spatially lagged regressors. We further allow for location-specific heterogeneity, which we model by including spatial splines. We conclude by comparing the performances of the different model specifications in applications t

SUBMITTER: Strauß ME 

PROVIDER: S-EPMC5826581 | biostudies-literature | 2017 May

REPOSITORIES: biostudies-literature