Spatial Panel Regression Modelling of Rainfall in Indonesia
Abstract
Rainfall is amount of water that falls to the earth's surface in the form of rain during a certain period of time, usually measured in millimeters. Rainfall data in Indonesia usually includes temporal and spatial dimensions, so the appropriate method for its analysis is spatial panel regression analysis. This study aims to identify factors that influence the amount of rainfall in Indonesia. This type of research is quantitative using secondary data from the central statistics agency website. The predictor variables used include air temperature, sunshine radiation, humidity, wind speed, and air pressure, while the response variable is amount of rainfall in 34 provinces in Indonesia. Spatial panel regression analysis is carried out using maximum likelihood estimation, which is used to estimate the regression coefficient and intercept that maximizes the likelihood of the existing data. Based on the lagrange multiplier test, spatial autocorrelation was found in the lag, so the appropriate model is SAR-FE. This model can overcome spatial autocorrelation by taking into account spatial interactions between locations, as well as controlling unobserved heterogeneity through fixed effects. The results show that sunshine radiation, humidity, and wind speed have significant effect on the amount of rainfall in Indonesia. The AIC value of SAR-FE model (-4.352594×〖10〗^(-13)) is smaller than SEM-FE model (-1.642001×〖10〗^(-12)), indicating that SAR-FE model is better at explaining the data.
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DOI: https://doi.org/10.31764/jtam.v9i2.29882
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