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A Design-Based Approach to Spatial Correlation

Ruonan Xu, Jeffrey M. Wooldridge

arXiv 25 Nov 2022 · Econometrics

arXiv:2211.14354 · PDF · DOI · OpenAlex · Extracted main text

Abstract

When observing spatial data, what standard errors should we report? With the finite population framework, we identify three channels of spatial correlation: sampling scheme, assignment design, and model specification. The Eicker-Huber-White standard error, the cluster-robust standard error, and the spatial heteroskedasticity and autocorrelation consistent standard error are compared under different combinations of the three channels. Then, we provide guidelines for whether standard errors should be adjusted for spatial correlation for both linear and nonlinear estimators. As it turns out, the answer to this question also depends on the magnitude of the sampling probability.

Citation extraction

25
references
47
in-text mentions
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distinct cited
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appendix boundary found by appendix_command · 46% of the source is main text. Read the extracted text to check this.

Most heavily cited references

The works this paper leans on most, across its whole bibliography — not restricted to papers in our corpus. Ranked by composite intensity, which combines how often a work is mentioned, how many sections mention it, and how much of that falls in the main text rather than the appendix.

ReferenceIntensityMentionsSectionsMain text
1Jenish, N. and Prucha, I.R (2012) On spatial processes and asymptotic inference under near-epoch dependence0.7946350%
2Bradley, R.C. and Tone, C (2017) A central limit theorem for non-stationary strongly mixing random fields0.6936333%
3Leung, M.P (2022) Causal inference under approximate neighborhood interference0.64422100%
4Sävje, F (2021) Causal inference with misspecified exposure mappings0.64422100%
5Gallant, A.R. and White, H (1988) A unified theory of estimation and inference for nonlinear dynamic models0.5855320%
6Abadie, A., Athey, S., Imbens, G.W., and Wooldridge, J.M (2020) Sampling-based versus design-based uncertainty in regression analysis self0.58531100%
7Jenish, N. and Prucha, I.R (2009) Central limit theorems and uniform laws of large numbers for arrays of random fields0.5114225%
8Abadie, A., Athey, S., Imbens, G.W., and Wooldridge, J (2017) When should you adjust standard errors for clustering? Tech self0.40511100%
9Aliprantis, D. and Hartley, D (2015) Blowing it up and knocking it down: The local and city-wide effects of demolishing high concentration public housing on crime0.40511100%
10Bojinov, I., Rambachan, A., and Shephard, N (2021) Panel experiments and dynamic causal effects: A finite population perspective0.40511100%

Showing the top 10 of 25 scored citations.

Cited by, within the corpus

arXiv econ.EM papers that cite this one, ranked by how heavily they lean on it.

Citing paperIntensityMentionsSections
1Clustering with Potential Multidimensionality: Inference and Practice0.40511
2Finite Population Identification and Design-Based Sensitivity Analysis0.40511