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An analysis of the determinants of internet access Export

Telecommunications Policy In A selection of papers from the 32nd Annual Telecommunications Policy Research Conference - Telecommunications Policy Research Conference, Vol. 29, No. 9-10. ( 2005), pp. 731-755.

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broadband demand diffusion economics information_economics networkeconomics network_economics networks technoeconomics telecommunications

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This paper analyzes the impact of a variety of socio-economic influences on households' decision to pay for basic Internet access, using a discrete choice framework, and making use of a unique survey of Internet use among American households. Traditional socio-demographic variables are apparent, and the influences of income and education seem to be particularly strong. The substantial variation observed in access price may largely have a spatial explanation. The analysis also suggests that the simple subscription decision is only modestly sensitive to price implying access subsidies for basic access are unlikely to be a highly effective tool in bridging the "digital divide".


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