Issues in applying spatial autocorrelation on Indonesia's provincial income growth analysis

Research output: Contribution to journalArticlepeer-review

Abstract

Research in regional growth analysis has acknowledged the importance of spatial effects as part of the analysis. Recently, there were several attempts to apply regional growth regression in Indonesia that raise the possible necessity to implement spatial effects in the growth regression. However, as the largest archipelagic country in the world, Indonesia has distinctive features in relation to spatial analysis that can hamper the application of spatial effects. The aim of this study is to investigate the necessity and the issues in applying spatial effects on Indonesia's provincial income per capita growth by introducing the spatial lag and error into the growth regression. The exercise shows the existing problems in applying spatial effects on Indonesia's regional growth regression. Moreover, the conclusion of the growth regression is hardly changed by the inclusion of spatial effects.
Original languageEnglish
Pages (from-to)375-402
Number of pages28
JournalAustralasian Journal of Regional Studies
Volume20
Issue number2
Publication statusPublished - 2014

Fingerprint

Dive into the research topics of 'Issues in applying spatial autocorrelation on Indonesia's provincial income growth analysis'. Together they form a unique fingerprint.

Cite this