Sampled Grid Pairwise Likelihood (SG-PL): An Efficient Approach for Spatial Regression on Large Data

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Main Authors: Arbia, Giuseppe, Nardelli, Vincenzo, Salvini, Niccolo
Format: Preprint
Published: 2025
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author Arbia, Giuseppe
Nardelli, Vincenzo
Salvini, Niccolo
author_facet Arbia, Giuseppe
Nardelli, Vincenzo
Salvini, Niccolo
contents Estimating spatial regression models on large, irregularly structured datasets poses significant computational hurdles. While Pairwise Likelihood (PL) methods offer a pathway to simplify these estimations, the efficient selection of informative observation pairs remains a critical challenge, particularly as data volume and complexity grow. This paper introduces the Sampled Grid Pairwise Likelihood (SG-PL) method, a novel approach that employs a grid-based sampling strategy to strategically select observation pairs. Simulation studies demonstrate SG-PL's principal advantage: a dramatic reduction in computational time -- often by orders of magnitude -- when compared to benchmark methods. This substantial acceleration is achieved with a manageable trade-off in statistical efficiency. An empirical application further validates SG-PL's practical utility. Consequently, SG-PL emerges as a highly scalable and effective tool for spatial analysis on very large datasets, offering a compelling balance where substantial gains in computational feasibility are realized for a limited cost in statistical precision, a trade-off that increasingly favors SG-PL with larger N.
format Preprint
id arxiv_https___arxiv_org_abs_2507_07113
institution arXiv
publishDate 2025
record_format arxiv
spellingShingle Sampled Grid Pairwise Likelihood (SG-PL): An Efficient Approach for Spatial Regression on Large Data
Arbia, Giuseppe
Nardelli, Vincenzo
Salvini, Niccolo
Methodology
Computation
Estimating spatial regression models on large, irregularly structured datasets poses significant computational hurdles. While Pairwise Likelihood (PL) methods offer a pathway to simplify these estimations, the efficient selection of informative observation pairs remains a critical challenge, particularly as data volume and complexity grow. This paper introduces the Sampled Grid Pairwise Likelihood (SG-PL) method, a novel approach that employs a grid-based sampling strategy to strategically select observation pairs. Simulation studies demonstrate SG-PL's principal advantage: a dramatic reduction in computational time -- often by orders of magnitude -- when compared to benchmark methods. This substantial acceleration is achieved with a manageable trade-off in statistical efficiency. An empirical application further validates SG-PL's practical utility. Consequently, SG-PL emerges as a highly scalable and effective tool for spatial analysis on very large datasets, offering a compelling balance where substantial gains in computational feasibility are realized for a limited cost in statistical precision, a trade-off that increasingly favors SG-PL with larger N.
title Sampled Grid Pairwise Likelihood (SG-PL): An Efficient Approach for Spatial Regression on Large Data
topic Methodology
Computation
url https://arxiv.org/abs/2507.07113