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Title of Journal: Public Choice

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Abbravation: Public Choice

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Springer US

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10.1007/s11654-013-0026-4

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1573-7101

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The importance of modeling spatial spillovers in p

Authors: James P LeSage Matthew Dominguez
Publish Date: 2010/09/22
Volume: 150, Issue: 3-4, Pages: 525-545
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Abstract

It is frequently assumed that regional observations on local government behavior voters regional taxes etc can be analyzed using ordinary leastsquares OLS methods We discuss spatial regression models in empirical studies of public choice issues using impacts arising from population migration on the provision of countylevel government services as an illustration Spatial regressions allow an examination of the direct and indirect spatial spillover effects which taken together determine the total impact on the dependent variable arising from a change in the explanatory variables This decomposition should be quite useful in empirical public choice studies

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