Acosta, Pablo; Mattos, Enlinson de; Fava, Ana - In: Applied Economics Letters 13 (2006) 14, pp. 905-910
This paper compares the power and size of both spatial one-directional and robust to local misspecification LM test using Monte Carlo techniques under different set ups. Confirming the results found in Anselin et al. (1996), under local misspecification the robust LM test improves its size and...