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An analysis of the determinants of broadband access


  • Flamm, Kenneth
  • Chaudhuri, Anindya


This paper extends the analysis of the relative impacts of socioeconomic factors on households' decision to subscribe to dialup Internet access [Chaudhuri, A., Flamm, K., & Horrigan, J. (2005). An analysis of the determinants of Internet access, presented at the Telecommunications Policy Research Conference, Washington, DC, October 1-3] to the decision to subscribe to broadband. A simple cumulative utility (ordered logit) model is rejected in favor of a partial proportional odds model, and the authors found that the decision to purchase any access at all, and the decision to upgrade to broadband, may be affected differently by various socioeconomic factors. The own-price elasticity of broadband demand is statistically significant and has a substantial coefficient value. The cross-price sensitivity of broadband demand with respect to dialup price is also statistically significant, and supports the notion of the two services being substitutes.

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  • Flamm, Kenneth & Chaudhuri, Anindya, 0. "An analysis of the determinants of broadband access," Telecommunications Policy, Elsevier, vol. 31(6-7), pages 312-326, July.
  • Handle: RePEc:eee:telpol:v:31:y::i:6-7:p:312-326

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    References listed on IDEAS

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    Cited by:

    1. Angelo Castaldo & Alessandro Fiorini & Bernardo Maggi, 2016. "Measuring (in a time of crisis) the impact of broadband connections on economic growth: an OECD panel analysis," DSS Empirical Economics and Econometrics Working Papers Series 2016/1, Centre for Empirical Economics and Econometrics, Department of Statistics, "Sapienza" University of Rome.
    2. Carare, Octavian & McGovern, Chris & Noriega, Raquel & Schwarz, Jay, 2015. "The willingness to pay for broadband of non-adopters in the U.S.: Estimates from a multi-state survey," Information Economics and Policy, Elsevier, vol. 30(C), pages 19-35.
    3. Renkow, Mitch, 2011. "Residential Broadband Availability: Evidence from Kentucky and North Carolina," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 40(2), August.
    4. Brian Whitacre, 2008. "Factors influencing the temporal diffusion of broadband adoption: evidence from Oklahoma," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 42(3), pages 661-679, September.
    5. Kongaut, Chatchai & Bohlin, Erik, 2014. "Investigating mobile broadband adoption and usage: S case of smartphone in Sweden," 20th ITS Biennial Conference, Rio de Janeiro 2014: The Net and the Internet - Emerging Markets and Policies 106848, International Telecommunications Society (ITS).
    6. Jinsoo Bae & Yun Jeong Choi & Jong-Hee Hahn, 2014. "Fixed and mobile broadband; Are they substitutes or complements?," Working papers 2014rwp-68, Yonsei University, Yonsei Economics Research Institute.
    7. Vergara, Sebastián & Rovira, Sebastián & Balboni, Mariana, 2011. "ICT in Latin America: A Microdata Analysis," MPRA Paper 34598, University Library of Munich, Germany.
    8. Tselekounis, Markos & Maniadakis, Dimitris & Varoutas, Dimitris, 2012. "NGA investments: A departure from the existing cost and demand structure assumptions," 19th ITS Biennial Conference, Bangkok 2012: Moving Forward with Future Technologies - Opening a Platform for All 72490, International Telecommunications Society (ITS).
    9. Joeffrey DROUARD, 2010. "Computer Literacy, Online Experience or Socioeconomic Characteristics – What are the Main Determinants of Internet Adoption and Internet Usage?," Communications & Strategies, IDATE, Com&Strat dept., vol. 1(80), pages 83-104, 4th quart.
    10. Aron Debra J. & Ingraham Allan T., 2012. "The Effects of Legacy Pricing Regulation on Adoption of Broadband Service in the United States," Review of Network Economics, De Gruyter, vol. 11(4), pages 1-38, December.
    11. Brian Whitacre, 2010. "The market and infrastructure perspective: reply," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 45(1), pages 239-243, August.
    12. Victor Glass & Stela Stefanova, 2010. "An empirical study of broadband diffusion in rural America," Journal of Regulatory Economics, Springer, vol. 38(1), pages 70-85, August.
    13. Prieger, James E. & Hu, Wei-Min, 2008. "The broadband digital divide and the nexus of race, competition, and quality," Information Economics and Policy, Elsevier, vol. 20(2), pages 150-167, June.
    14. Badran, M.F., 2007. "What determines broadband uptake in emerging countries? An empirical study," MPRA Paper 37529, University Library of Munich, Germany.
    15. Srinuan, Chalita & Bohlin, Erik, 2011. "Understanding the digital divide: A literature survey and ways forward," 22nd European Regional ITS Conference, Budapest 2011: Innovative ICT Applications - Emerging Regulatory, Economic and Policy Issues 52191, International Telecommunications Society (ITS).
    16. G, Thiagarajan & Nakkeeran, Senthilkumar & Arockiasamy, Arulraj, 2010. "Mediating effects of broadband consumers’ behavior in India," MPRA Paper 26840, University Library of Munich, Germany, revised 27 Jul 2010.
    17. Trevor Roycroft, 2013. "Empirical study of broadband adoption using data from the 2009 Residential Energy Consumption Survey," Journal of Regulatory Economics, Springer, vol. 43(2), pages 214-228, April.
    18. Drouard, Joeffrey, 2011. "Costs or gross benefits? - What mainly drives cross-sectional variance in Internet adoption," Information Economics and Policy, Elsevier, vol. 23(1), pages 127-140, March.
    19. James Prieger, 2015. "The broadband digital divide and the benefits of mobile broadband for minorities," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 13(3), pages 373-400, September.


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