SIMULTANEOUS SPATIAL DURBIN FOR PANEL DATA WITH TWO WAY ERROR COMPONENT MODEL

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Published: 2022-12-07

DOI: 10.56557/ajomcor/2022/v29i37954

Page: 10-24


AGUS MUSLIM *

Department of Statistics, IPB University, Bogor-16680, Indonesia.

I. MADE SUMERTAJAYA

Department of Statistics, IPB University, Bogor-16680, Indonesia.

NOER AZAM ACHSANI

School of Business, IPB University, Bogor-16680, Indonesia.

I. GUSTI PUTU PURNABA

Department of Mathematics, IPB University , Bogor-16680, Indonesia.

UTAMI DYAH SYAFITRI

Department of Statistics, IPB University, Bogor-16680, Indonesia.

*Author to whom correspondence should be addressed.


Abstract

This study developed a Simultaneous Spatial model for panel data using Simultaneous Spatial Durbin Model for panel data with two way error component by using Generalized Spatial Two Stage Least Square (SSDPDTWEC GS2SLS). Based on the results of the simulation data, it can be concluded that the SSDPDTWEC GS2SLS model is better than Simultaneous Spatial Durbin for panel data with one way error component using Spatial Two Stage Least Square (SSDPDONWEC S2SLS), SSDPDONWEC GS2SLS, and SSDPDTWEC S2SLS, because it has a smaller mean of square error (MSE) and has a larger coefficient of determination (R Square) value.

Based on the results of the SSDPDTWEC GS2SLS Model to endogenous economics growth data in Indonesia from 2015-2020, it can be concluded that Gross Regional Domestics Product (GRDP) is significantly affected by Human Development Index (HDI), Poverty (POOR), spatial dependencies of the HDI (WHDI), spatial dependencies of poverty (WPOOR) and spatial dependencies of GRDP (WGRDP), while Information and Communication Technology Development Index (ICTDI) and spatial dependencies of ICTDI (WICTDI) have no significant effect on GRDP. For ICTDI is significantly affected by HDI, WHDI and WICTDI, while GRDP, Direct Expenditure (DE), WGRDP and spatial dependencies of direct expenditure (WDE) have no significant effect on ICTDI. HDI variable is significantly affected by ICTDI, WICTDI, and WHDI while GRDP and WGRDP have no significant effect on HDI. There is no spatial simultaneity relationship between GRDP and HDI as well as GRDP and ICTDI, while between ICTDI and HDI there is a spatial simultaneous relationship.

Keywords: Simultaneous spatial Durbin panel data, two way error component


How to Cite

MUSLIM, A., SUMERTAJAYA, I. M., ACHSANI, N. A., PURNABA, I. G. P., & SYAFITRI, U. D. (2022). SIMULTANEOUS SPATIAL DURBIN FOR PANEL DATA WITH TWO WAY ERROR COMPONENT MODEL. Asian Journal of Mathematics and Computer Research, 29(3), 10–24. https://doi.org/10.56557/ajomcor/2022/v29i37954