A Panel Data Model with Generalized Higher-Order Network Effects

Badi Baltagi, Sophia Ding and Peter Egger
Additional contact information
Sophia Ding: ETH Zurich

No 233, Center for Policy Research Working Papers from Center for Policy Research, Maxwell School, Syracuse University

Abstract: Many data situations require the consideration of network effects among the cross-sectional units of observation. In this paper, we present a generalized panel model which accounts for two features: (i) three types of network effects on the right-hand side of the model, namely through weighted dependent variable, weighted exogenous variables, as well as weighted error components, and (ii) higher-order network effects due to ex-ante unknown network-decay functions or the presence of multiplex (or multi-layer) networks among all of those. We outline the model, the basic assumptions, and present simulation results.

Keywords: Spatial and Network Interdependence; Panel Data; Higher-Order Network Effects (search for similar items in EconPapers)
JEL-codes: C23 C33 C34 (search for similar items in EconPapers)
Pages: 33 pages
Date: 2020-10
New Economics Papers: this item is included in nep-ecm and nep-net
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://surface.syr.edu/cpr/265/ (application/pdf)

Related works:
Chapter: A Panel Data Model with Generalized Higher-Order Network Effects (2022)
Working Paper: A Panel Data Model with Generalized Higher-Order Networks Effects (2020)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:max:cprwps:233

Access Statistics for this paper

More papers in Center for Policy Research Working Papers from Center for Policy Research, Maxwell School, Syracuse University 426 Eggers Hall, Syracuse, New York USA 13244-1020. Contact information at EDIRC.
Bibliographic data for series maintained by Katrina Fiacchi (kfiacchi@syr.edu).