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Group Interaction in Research and the Use of General Nesting Spatial Models

Peter Burridge (), J.Paul Elhorst and Katarina Zigova

A chapter in Spatial Econometrics: Qualitative and Limited Dependent Variables, 2016, vol. 37, pp 223-258 from Emerald Publishing Ltd

Abstract: Abstract This paper tests the feasibility and empirical implications of a spatial econometric model with a full set of interaction effects and weight matrix defined as an equally weighted group interaction matrix applied to research productivity of individuals. We also elaborate two extensions of this model, namely with group fixed effects and with heteroskedasticity. In our setting, the model with a full set of interaction effects is overparameterised: only the SDM and SDEM specifications produce acceptable results. They imply comparable spillover effects, but by applying a Bayesian approach taken from LeSage (2014), we are able to show that the SDEM specification is more appropriate and thus that colleague interaction effects work through observed and unobserved exogenous characteristics common to researchers within a group.

Keywords: Spatial econometrics; identification; heteroskedasticity; group fixed effects; interaction effects; research productivity; C21; D85; I23; J24 (search for similar items in EconPapers)
Date: 2016
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Working Paper: Group Interaction in Research and the Use of General Nesting Spatial Models (2014) Downloads
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