The article discusses how spatial data can affect economic analysis. It introduces the concept of spatial connectivity and explains how it influences spatial autocorrelation. Different tests for spatial autocorrelation are reviewed. The spatial autoregression model is introduced, along with alternative estimation methods. Spatial statistical methods like spatial principal components and geographically weighted regression are also discussed. The article emphasizes the differences between spatial and time series data, highlighting the Modifiable Area Unit Problem in socioeconomic space.