J. Paul Elhorst
;
Pim Heijnen
;
Anna Samarina
;
Jan Jacobs

transitions at different moments in time: a spatial probit approach (replication data)

This paper adopts a spatial probit approach to explain interaction effects among cross-sectional units when the dependent variable takes the form of a binary response variable and transitions from state 0 to 1 occur at different moments in time. The model has two spatially lagged variables: one for units that are still in state 0 and one for units that had already transferred to state 1. The parameters are estimated on observations for those units that are still in state 0 at the start of the different time periods, whereas observations on units after they transferred to state 1 are discarded, just as in the literature on duration modeling. Furthermore, neighboring units that had not yet transferred may have a different impact from units that had already transferred. We illustrate our approach with an empirical study of the adoption of inflation targeting for a sample of 58 countries over the period 1985-2008.

Data and Resources

Suggested Citation

Elhorst, J. Paul; Heijnen, Pim; Samarina, Anna; Jacobs, Jan (2017): Transitions at Different Moments in Time: A Spatial Probit Approach (replication data). Version: 1. Journal of Applied Econometrics. Dataset. http://dx.doi.org/10.15456/jae.2022326.0701760284