Using a sample of 17 Latin American countries, with observations during 1986–2006, two forms of spatial interdependence of foreign direct investment (FDI) are explored: (1) surrounding market potential, and (2) spatial autocorrelation. We find that surrounding market potential has a positive...

We present the spmat command for creating, managing, and storing spatial-weighting matrices, which are used to model interactions between spatial or more generally cross-sectional units. spmat can store spatial-weighting matrices in a general and banded form. We illustrate the use of the spmat...