Spatial autocorrelation or model misspecification? The help from RESET and the curse of small samples

doi:https://dx.doi.org/10.1007/s12076-009-0022-z

Journal Article

Spatial autocorrelation or model misspecification? The help from RESET and the curse of small samples

Letters in Spatial and Resource Sciences, 2(1): 53–59

link to journal

Authors

Vaona
A.

Publication Date: 02/2009

In regression analysis,model misspecification can produce spurious spatial correlation in the residuals. By means of Monte Carlo simulations, I show that the RESET test can help to disentangle this conundrum in large samples. Small samples can pose a serious challenge to finding the correct model.