Employment Densities, Spatial Autocorrelation, and Subcenters in Large Metropolitan Areas
Article first published online: 21 JUN 2004
Journal of Regional Science
Volume 44, Issue 2, pages 225–244, May 2004
How to Cite
McMillen, D. P. (2004), Employment Densities, Spatial Autocorrelation, and Subcenters in Large Metropolitan Areas. Journal of Regional Science, 44: 225–244. doi: 10.1111/j.0022-4146.2004.00335.x
- Issue published online: 21 JUN 2004
- Article first published online: 21 JUN 2004
- Received: December 2002; Revised: June 2003; Accepted: July 2003.
Employment density functions are estimated for 62 large metropolitan areas. Estimated gradients are statistically significant for distance from the nearest subcenter as well as for distance from the traditional central business district. Lagrange Multiplier (LM) tests imply significant spatial autocorrelation under highly restrictive ordinary least squares (OLS) specifications. The LM test statistics fall dramatically when the models are estimated using flexible parametric and nonparametric methods. The results serve as a warning that functional form misspecification causes spatial autocorrelation.