Arbia, Giuseppe and Bee, Marco and Espa, Giuseppe (2007) Aggregation of regional economic time series with different spatial correlation structures. UNSPECIFIED.
In this paper we compare the relative efficiency of different forecasting methods of space-time series when variables are spatially and temporally correlated. We consider the case of a space-time series aggregated into a single time series and the more general instance of a space-time series aggregated into a coarser spatial partition. We extend in various directions the outcomes found in the literature by including the consideration of larger datasets and the treatment of edge effects and of negative spatial correlation. The outcomes obtained provide operational suggestions on how to choose between alternative forecasting methods in empirical circumstances.
|Item Type: ||Departmental Technical Report|
|Department or Research center: ||Economics|
|Subjects: ||Q Science > QC Physics (General) > QC020 Mathematical Physics|
|Uncontrolled Keywords: ||Spatial correlation; Aggregation; Forecast efficiency; Space–time models; Edge effects; Negative spatial correlation|
|Report Number: ||20|
|Repository staff approval on: ||23 Nov 2007|
Actions (login required)