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Estimation of the Spatial Weighting Matrix for Spatiotemporal Data under the Presence of Structural Breaks

Estimation of the Spatial Weighting Matrix for Spatiotemporal Data under the Presence of Structural Breaks

In this article, we propose a two-stage LASSO estimation approach for the estimation of a full spatial weight matrix of spatiotemporal autoregressive models. In addition, we allow for an unknown number of structural breaks in the local means of each spatial location. These locally varying mean levels, however, can easily …