Author(s)

Tuti Purwaningsih, Erfiani  

Departement of Statistics, Graduate School of Bogor Agricultural University, Bogor, Indonesia.

Panel data combine cross-section data and time series data. If the cross-section is locations, there is a need to check the correlation among locations. ρ and λ are parameters in generalized spatial model to cover effect of correlation between locations. Value of ρ or λ will influence the goodness of fit model, so it is important to make parameter estimation. The effect of another location is covered by making contiguity matrix until it gets spatial weighted matrix (W). There are some types of W—uniform W, binary W, kernel Gaussian W and some W from real case of economics condition or transportation condition from locations. This study is aimed to compare uniform W and kernel Gaussian W in spatial panel data model using RMSE value. The result of analysis showed that uniform weight had RMSE value less than kernel Gaussian model. Uniform W had stabil value for all the combinations.

Component, Uniform Weight, Kernel Gaussian Weight, Generalized Spatial Panel Data Model

Purwaningsih, T. and  , E. (2015) Comparison of Uniform and Kernel Gaussian Weight Matrix in Generalized Spatial Panel Data Model. Open Journal of Statistics, 5, 90-95. doi: 10.4236/ojs.2015.51011.