Testing Spatial Causality in Cross-section Data

Herrera Gómez, Marcos and Ruiz Marín, Manuel and Mur Lacambra, Jesús (2014): Testing Spatial Causality in Cross-section Data.

Abstract

The paper shows a new non-parametric test, based on symbolic entropy, which permits detect spatial causality in cross-section data. The test is robust to the functional form of the relation and has a good behaviour in samples of medium to large size. We illustrate the use of test with the case of relationship between migration and unemployment, using data on 3,108 U.S. counties for the period 2003-2008.

• Item Type: MPRA Paper
• Language: English
• Keywords: Spatial Econometrics, Causality, Non-parametric method
• Subjects: C - Mathematical and Quantitative Methods > C0 - General > C01 - Econometrics; C - Mathematical and Quantitative Methods > C2 - Single Equation Models ; Single Variables > C21 - Cross-Sectional Models ; Spatial Models ; Treatment Effect Models ; Quantile Regressions; C - Mathematical and Quantitative Methods > C4 - Econometric and Statistical Methods: Special Topics > C46 - Specific Distributions ; Specific Statistics

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