I am working on recreating the Average Nearest Neighbor tool and was wondering if anybody knows A) does the NN tool in ArcToolbox take into account edge/boundary effects and B) how does the script do this (what method does it use)? Any help in this would be great. So far to account for edge effects in my own work I have created an inner buffer zone for my points and removed all nearest neighbor distances greater than e^(natural log(mean + (2 * standard deviations))). Also, if anybody has any pointers on what other edge-effect corrections I could use.
Thank you all,