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  • Spatial durbin model issue

    Hope everyone is doing great. I am working with the spatial Durbin model (time and spatial fixed effect) but the problem is that my rho coefficient is negative and convergence is not achieved. I am using an XMLE command and considering a 4k nearest neighbors. What should I do?
    I have another issue. With dynamic spatial Durbin model. I am using a second lag of the dependent variable (green growth) but the lag coefficient sign is negative. Help me in this regard thank you very much
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