Inference Based on Alternative Bootstrapping Methods in Spatial Models with an Application to County Income Growth in the United States

17 Pages Posted: 29 Nov 2011

See all articles by Daniel Monchuk

Daniel Monchuk

World Bank

Dermot J. Hayes

Iowa State University - Center for Agriculture and Rural Development (CARD)

John A. Miranowski

Iowa State University - Department of Economics

Dayton M. Lambert

University of Tennessee, Knoxville

Date Written: December 2011

Abstract

This study examines aggregate county income growth across the 48 contiguous states from 1990 to 2005. To control for endogeneity, we estimate a two‐stage spatial error model and implement a number of spatial bootstrap routines to infer parameter significance. Among the results, we find that outdoor recreation and natural amenities favor positive growth in rural counties and property taxes correlate negatively with rural growth. Comparing bootstrap inference with other models, including the recent General Moment heteroskedastic‐robust spatial error estimator, we find similar conclusions suggesting bootstrapping can be effective in spatial models where asymptotic results are not well established.

Suggested Citation

Monchuk, Daniel and Hayes, Dermot James and Miranowski, John A. and Lambert, Dayton M., Inference Based on Alternative Bootstrapping Methods in Spatial Models with an Application to County Income Growth in the United States (December 2011). Journal of Regional Science, Vol. 51, Issue 5, pp. 880-896, 2011. Available at SSRN: https://ssrn.com/abstract=1965898 or http://dx.doi.org/10.1111/j.1467-9787.2011.00716.x

Daniel Monchuk

World Bank ( email )

1818 H Street, NW
Washington, DC 20433
United States

Dermot James Hayes

Iowa State University - Center for Agriculture and Rural Development (CARD) ( email )

Ames, IA 50011
United States
515-294-6185 (Phone)

John A. Miranowski

Iowa State University - Department of Economics ( email )

260 Heady Hall
Ames, IA 50011
United States
515-294-6132 (Phone)
515-294-6644 (Fax)

HOME PAGE: http://www.econ.iastate.edu/faculty/miranowski/

Dayton M. Lambert

University of Tennessee, Knoxville ( email )

The Boyd Center for Business and Economic Research
Knoxville, TN 37996
United States

Register to save articles to
your library

Register

Paper statistics

Downloads
2
Abstract Views
302
PlumX Metrics