Broadband Access, Telecommuting and the Urban-Rural Digital Divide
AbstractWe investigate the role of broadband access on the probability of telecommuting and whether individuals who work from home receive greater compensation. We also assess whether telecommuting differs between more- and less-densely populated areas. Telecommuting responds positively to local average commuting time and to local access to High-Speed Internet service. Differences in broadband access explain three-fourths of the gap in telecommuting between urban and rural markets. Telecommuters and other IT users do not earn significantly more than otherwise observationally comparable workers. Already highly skilled and highly paid workers are the most likely to telecommute and so they do not earn more because they telecommute. As broadband access improves in rural markets, the urban-rural gap in telecommuting will diminish. The urban-rural pay gap will also decrease if improved broadband access induces some already highly paid urban workers to move to rural areas.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Iowa State University, Department of Economics in its series Staff General Research Papers with number 12495.
Date of creation: 02 Feb 2006
Date of revision:
Contact details of provider:
Postal: Iowa State University, Dept. of Economics, 260 Heady Hall, Ames, IA 50011-1070
Phone: +1 515.294.6741
Fax: +1 515.294.0221
Web page: http://www.econ.iastate.edu
More information through EDIRC
urban; Rural; broadband; telecommuting; earnings;
Find related papers by JEL classification:
- O18 - Economic Development, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
- O33 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
- J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
This paper has been announced in the following NEP Reports:
- NEP-AGR-2006-02-12 (Agricultural Economics)
- NEP-ALL-2006-02-12 (All new papers)
- NEP-GEO-2006-02-12 (Economic Geography)
- NEP-URE-2006-02-12 (Urban & Real Estate Economics)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Patricia Mokhtarian & Ilan Salomon, 2005.
"Modeling the Choice of Telecommuting 3: Identifying the Choice Set and Estimating Binary Choice Models for Technology-Based Alternatives,"
Labor and Demography
- P L Mokhtarian & I Salomon, 1996. "Modeling the choice of telecommuting: 3. Identifying the choice set and estimating binary choice models for technology-based alternatives," Environment and Planning A, Pion Ltd, London, vol. 28(10), pages 1877-1894, October.
- Mokhtarian, Patricia L. & Salomon, Ilan, 1995. "Modeling the Choice of Telecommuting 3: Identifying the Choice Set and Estimating Binary Choice Models for Technology-Based Alternatives," University of California Transportation Center, Working Papers qt80w5p49p, University of California Transportation Center.
- Harry A. Krashinsky, 2004. "Do Marital Status and Computer Usage Really Change the Wage Structure?," Journal of Human Resources, University of Wisconsin Press, vol. 39(3).
- Litan, Robert & Rivlin, Alice, 2001.
"Projecting the economic impact of the Internet,"
Journal of Financial Transformation,
Capco Institute, vol. 2, pages 35-41.
- Patricia Mokhtarian & Ilan Salomon & Sangho Choo, 2005.
"Measuring the Measurable: Why Can't We Agree on the Number of Telecommuters in the U.S.?,"
Labor and Demography
- Patricia Mokhtarian & Ilan Salomon & Sangho Choo, 2005. "Measuring the Measurable: Why can’t we Agree on the Number of Telecommuters in the U.S.?," Quality & Quantity: International Journal of Methodology, Springer, vol. 39(4), pages 423-452, 08.
- Oaxaca, Ronald, 1973. "Male-Female Wage Differentials in Urban Labor Markets," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 14(3), pages 693-709, October.
- Lee, Sang-Hyop & Kim, Jonghyuk, 2004. "Has the Internet changed the wage structure too?," Labour Economics, Elsevier, vol. 11(1), pages 119-127, February.
- Enrico Moretti, 2004. "Workers' Education, Spillovers, and Productivity: Evidence from Plant-Level Production Functions," American Economic Review, American Economic Association, vol. 94(3), pages 656-690, June.
- Fairlie Robert W, 2004. "Race and the Digital Divide," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 3(1), pages 1-40, September.
- Dale W. Jorgenson, 2001. "Information Technology and the U. S. Economy," Harvard Institute of Economic Research Working Papers 1911, Harvard - Institute of Economic Research.
- Liu, Jin-Tan & Tsou, Meng-Wen & Hammitt, James K., 2004. "Computer use and wages: evidence from Taiwan," Economics Letters, Elsevier, vol. 82(1), pages 43-51, January.
- H, Entorf & Michel Gollac & Francis Kramarz, 1997.
"New Technologies, Wages and Worker Selection,"
97-25, Centre de Recherche en Economie et Statistique.
- Todd M. Gabe & Jaison R. Abel, 2002. "Deployment of Advanced Telecommunications Infrastructure in Rural America: Measuring the Digital Divide," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 84(5), pages 1246-1252.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Stephanie Bridges) The email address of this maintainer does not seem to be valid anymore. Please ask Stephanie Bridges to update the entry or send us the correct address.
If references are entirely missing, you can add them using this form.