Abstract:

Geographically, areas with neighborhood boundaries are in interaction. This interaction changes according to the distance between them. A spatial econometric approach can be used to analyze the interactions between countries with border neighbors. Spatial econometrics is defined as a sub-space of econometrics consisting of econometric methods that contain the existing spatial effect in the cut or panel data. This study used material unemployment data from the Balkans countries with border neighborhoods between the years 1991-2020. As a method, spatial econometrics and spatial panel econometrics approaches have been used and the unemployment gap between the Balkans countries in border neighborhoods has been studied. In the study, first and foremost, Moran's I and LM (for error and delay) tests and spatial dependence were determined, with the analysis made it was determined that the SAR and SEM models and finally the Hausman test and the racial effect model would be appropriate. As a result, it can be said that the Balkans with their border neighborhoods affected each other in terms of unemployment and that there is a spatial relationship between them.

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