Figure 1.

Illustration of Spatial Lag regression model vs. OLS regression model. Figure 1, adapted from Baller et al [24], provides some intuition of the difference between the spatial lag and simple OLS models. In the first diagram, each observation is influenced by its own set of structural/socio-economic factors; this is the OLS regression model. However, in the second diagram, each village’s maternal care utilization rate is allowed to be influenced by her neighbour’s maternal care utilization.