On Deriving Reduced-Form Spatial Econometric Models from Theory and Their Ws from Observed Flows: Example Based on the Regional Knowledge Production Function

  • Sandy Dall’erbaEmail author
  • Dongwoo Kang
  • Fang Fang
Part of the Advances in Spatial Science book series (ADVSPATIAL)


Recent spatial econometric contributions call for empirical models to be more often derived from spatial theory and W matrices to be more closely related to actual inter-regional linkages. This manuscript answers this call by reviewing some of the latest developments and suggesting future research venues along these lines. All examples are based on the regional knowledge production function literature as enormous advances focusing on the spatial nature of the dynamics at work have taken place sinces Griliches (Bell J Econ 10(1):92–116, 1979) seminal but aspatial contribution. Furthermore, this literature offers several examples of spatial weight matrices that offer innovative ways to account for the nature, magnitude, asymmetry and directionality of inter-regional (knowledge) spillovers. We foresee that other exciting regional science topics will follow this path.


Knowledge Spillover Regional Income Spatial Weight Matrix Spatial Econometric Spatial Spillover 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.


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© Springer International Publishing AG 2017

Authors and Affiliations

  1. 1.Department of Agricultural and Consumer Economics and Regional Economics Applications LaboratoryUniversity of Illinois at Urbana-ChampaignChampaignUSA
  2. 2.Korea Labor InstituteSejongSouth Korea
  3. 3.Graduate Interdisciplinary Program in Statistics and Regional Economics and Spatial Modeling LaboratoryUniversity of ArizonaTucsonUSA

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