We propose the use of state-space models (SSMs) to estimate dynamic spatial relationships from time series data. At each time step, the weight matrix, capturing the latent state, is updated by a spatial autoregressive model. Specifically, we consider two types of SSM: the first one calibrates...

This paper examines the impact of business diversification of banks on their risk, with efficiency taken into consideration as a conduit. Using bank-level data from more than 1400 commercial banks in 39 emerging economies during 2000-2016, we find that increased business diversification exerts...

We examine the relationship between household income and happiness in Afghanistan and the moderating roles of fear of insecurity and experiencing violence. Our study is based on surveys conducted by the Asia Foundation from 2014 to 2021 across 34 provinces in Afghanistan. Employing fixed effects...