A Spatial Multivariate Count Model For Firm Location Decisions
Published online on January 21, 2014
Abstract
This paper proposes a new spatial multivariate model to predict the count of new businesses at a county level in the state of Texas. Several important factors including agglomeration economies/diseconomies, industrial specialization indices, human capital, fiscal conditions, transportation infrastructure, and land development characteristics are considered. The results highlight the need to use a multivariate modeling system for the analysis of business counts by sector type, while also accommodating spatial dependence effects in business counts.