This paper studies how the strength of social ties are affected by the geographical location of other individuals and their social capital. We characterize the equilibrium in terms of both social interactions and social capital. We show that lower travel costs increase not only the interaction...

This paper introduces a new approach to modelling the conditional variance in a multivariate setting. It is essentially a combination of the popular GARCH model class with a spatial component, inspired by generalized space-time models. The resulting spatial GARCH model takes into account both...

In this paper, we investigate innovation factors and their role in regional economic performance for a sample of 261 EU NUTS 2 regions over the period 2009-2012. In our study, we identify regions with spillover as well as drain effects of innovation factors on economic performance. The spatial...