IDEAS home Printed from https://ideas.repec.org/a/eee/telpol/v46y2022i8s0308596122000672.html
   My bibliography  Save this article

Impacts of the Broadband Initiatives Program on broadband adoption and home telework

Author

Listed:
  • Pender, John
  • Goldstein, Joshua
  • Mahoney-Nair, Devika

Abstract

This study investigates the impacts of the Broadband Initiatives Program (BIP), established by the American Recovery and Reinvestment Act in 2009, on growth in broadband adoption and use of home telework. We find robust positive impacts across multiple econometric models and methods using census tract-level data in first differences. Across models and methods, the estimated average impact of BIP is in the range of 1.1–3.0 percentage point increase in the share of households adopting broadband and 0.2 to 0.4 percentage point increase in the share of workers using home telework. The estimated impacts of BIP represent roughly one-fourth to two-thirds of the average increase in broadband adoption and one-third to two-thirds of the average increase in home telework in the study tracts during the study period. The impacts of BIP vary across geographic contexts. Broadband and home telework adoption are also affected by prior levels of broadband availability, adoption, and telework, and by demographic and socioeconomic characteristics of the population and the industrial structure of the economy.

Suggested Citation

  • Pender, John & Goldstein, Joshua & Mahoney-Nair, Devika, 2022. "Impacts of the Broadband Initiatives Program on broadband adoption and home telework," Telecommunications Policy, Elsevier, vol. 46(8).
  • Handle: RePEc:eee:telpol:v:46:y:2022:i:8:s0308596122000672
    DOI: 10.1016/j.telpol.2022.102365
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0308596122000672
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.telpol.2022.102365?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Iris Arbogast & Charles S. Gascon & Andrew Spewak, 2019. "Working from Home: More Americans Are Telecommuting," The Regional Economist, Federal Reserve Bank of St. Louis, vol. 27(3).
    2. Arthur Lewbel, 2012. "Using Heteroscedasticity to Identify and Estimate Mismeasured and Endogenous Regressor Models," Journal of Business & Economic Statistics, Taylor & Francis Journals, vol. 30(1), pages 67-80.
    3. Nicholas Bloom & James Liang & John Roberts & Zhichun Jenny Ying, 2015. "Does Working from Home Work? Evidence from a Chinese Experiment," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 130(1), pages 165-218.
    4. Singh, Rajesh & Orazem, Peter F. & Song, Moohoun, 2006. "Broadband Access, Telecommuting and the Urban-Rural Digital Divide," Working Papers 18214, Iowa State University, Department of Economics.
    5. Kolko, Jed, 2012. "Broadband and local growth," Journal of Urban Economics, Elsevier, vol. 71(1), pages 100-113.
    6. Ivan T. Kandilov & Mitch Renkow, 2010. "Infrastructure Investment and Rural Economic Development: An Evaluation of USDA's Broadband Loan Program," Growth and Change, Wiley Blackwell, vol. 41(2), pages 165-191, June.
    7. Patricia L Mokhtarian & Gustavo O Collantes & Carsten Gertz, 2004. "Telecommuting, Residential Location, and Commute-Distance Traveled: Evidence from State of California Employees," Environment and Planning A, , vol. 36(10), pages 1877-1897, October.
    8. Dinterman, Robert & Renkow, Mitch, 2017. "Evaluation of USDA's Broadband Loan Program: Impacts on broadband provision," Telecommunications Policy, Elsevier, vol. 41(2), pages 140-153.
    9. Baetschmann, Gregori, 2012. "Identification and estimation of thresholds in the fixed effects ordered logit model," Economics Letters, Elsevier, vol. 115(3), pages 416-418.
    10. Amy M.G. Kandilov & Ivan T. Kandilov & Xiangping Liu & Mitch Renkow, 2017. "The Impact of Broadband on U.S. Agriculture: An Evaluation of the USDA Broadband Loan Program," Applied Economic Perspectives and Policy, Agricultural and Applied Economics Association, vol. 39(4), pages 635-661.
    11. Ivan T. Kandilov & Mitch Renkow, 2020. "The Impacts Of The Usda Broadband Loan And Grant Programs: Moving Toward Estimating A Rate Of Return," Economic Inquiry, Western Economic Association International, vol. 58(3), pages 1129-1145, July.
    12. Manlove, Jacob & Whitacre, Brian, 2019. "An evaluation of the Connected Nation broadband adoption program," Telecommunications Policy, Elsevier, vol. 43(7), pages 1-1.
    13. Hauge & Prieger, 2015. "Evaluating the impact of the American Recovery and Reinvestment Act's BTOP on broadband adoption," Applied Economics, Taylor & Francis Journals, vol. 47(60), pages 6553-6579, December.
    14. Keele, Luke J. & Titiunik, Rocío, 2015. "Geographic Boundaries as Regression Discontinuities," Political Analysis, Cambridge University Press, vol. 23(1), pages 127-155, January.
    15. Roberto Gallardo & Brian Whitacre, 2018. "21st century economic development: Telework and its impact on local income," Regional Science Policy & Practice, Wiley Blackwell, vol. 10(2), pages 103-123, June.
    16. Brian Whitacre & Bradford Mills, 2010. "A need for speed? Rural Internet connectivity and the no access/dial-up/high-speed decision," Applied Economics, Taylor & Francis Journals, vol. 42(15), pages 1889-1905.
    17. Brian Whitacre & Roberto Gallardo & Sharon Strover, 2014. "Does rural broadband impact jobs and income? Evidence from spatial and first-differenced regressions," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 53(3), pages 649-670, November.
    18. Parente, Paulo M.D.C. & Santos Silva, J.M.C., 2012. "A cautionary note on tests of overidentifying restrictions," Economics Letters, Elsevier, vol. 115(2), pages 314-317.
    19. Chang, Jieun, 2021. "Broadband technology opportunities program public computer center grants and residential broadband adoption," Telecommunications Policy, Elsevier, vol. 45(8).
    20. Stenberg, Peter L., 2018. "The purchase of Internet subscriptions in Native American households," Telecommunications Policy, Elsevier, vol. 42(1), pages 51-60.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Pender, John & Goldstein, Joshua & Mahoney-Nair, Devika & Charankevich, Hanna, 2023. "Three USDA Rural Broadband Programs: Areas and Populations Served," Economic Information Bulletin 340565, United States Department of Agriculture, Economic Research Service.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Manlove, Jacob & Whitacre, Brian, 2019. "An evaluation of the Connected Nation broadband adoption program," Telecommunications Policy, Elsevier, vol. 43(7), pages 1-1.
    2. Bai, Yang & Wang, Ryan Yang & Jayakar, Krishna, 2022. "What $2.5 billion can buy: The effect of the Broadband Initiatives Program on farm productivity," Telecommunications Policy, Elsevier, vol. 46(7).
    3. Whitacre, Brian & Gallardo, Roberto, 2020. "State broadband policy: Impacts on availability," Telecommunications Policy, Elsevier, vol. 44(9).
    4. Deller, Steven & Whitacre, Brian, 2018. "Broadband’s Relationship to Rural Housing Values," Staff Paper Series 591, University of Wisconsin, Agricultural and Applied Economics.
    5. Biedny, Christina & Whitacre, Brian & Gallardo, Roberto, 2022. "Do ‘dig once’ and permitting policies improve fiber availability?," Telecommunications Policy, Elsevier, vol. 46(5).
    6. LoPiccalo, Katherine, 2022. "Impact of broadband penetration on U.S. Farm productivity: A panel approach," Telecommunications Policy, Elsevier, vol. 46(9).
    7. Pender, John & Goldstein, Joshua & Mahoney-Nair, Devika & Charankevich, Hanna, 2023. "Three USDA Rural Broadband Programs: Areas and Populations Served," Economic Information Bulletin 340565, United States Department of Agriculture, Economic Research Service.
    8. Schmit, Todd M. & Severson, Roberta M., 2021. "Exploring the feasibility of rural broadband cooperatives in the United States: The new New Deal?," Telecommunications Policy, Elsevier, vol. 45(4).
    9. Stockinger, Bastian, 2017. "The effect of broadband internet on establishments' employment growth: evidence from Germany," IAB-Discussion Paper 201719, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
    10. Liu, Chun & Wang, Lian, 2021. "Who is left behind? Exploring the characteristics of China's broadband non-adopting families," Telecommunications Policy, Elsevier, vol. 45(9).
    11. Chang, Jieun, 2021. "Broadband technology opportunities program public computer center grants and residential broadband adoption," Telecommunications Policy, Elsevier, vol. 45(8).
    12. Lobo, Bento J. & Alam, Md Rafayet & Whitacre, Brian E., 2020. "Broadband speed and unemployment rates: Data and measurement issues," Telecommunications Policy, Elsevier, vol. 44(1).
    13. Jablonski, Becca B.R. & Pender, John & Bauman, Allison & Rupasingha, Anil & Clark, Jill K., 2023. "Stocks of Wealth and the Value-Added Food and Agriculture Sector," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 48(3), September.
    14. Bauer, Anahid & Feir, Donn. L. & Gregg, Matthew T., 2022. "The tribal digital divide: Extent and Explanations," Telecommunications Policy, Elsevier, vol. 46(9).
    15. Han, Luyi & Wojan, Timothy R. & Goetz, Stephan J., 2023. "Experimenting in the cloud: The digital divide's impact on innovation," Telecommunications Policy, Elsevier, vol. 47(7).
    16. Bauer, Anahid & Feir, Donn. L. & Gregg, Matthew T., 2022. "The tribal digital divide: Extent and Explanations," Telecommunications Policy, Elsevier, vol. 46(9).
    17. Ivan T. Kandilov & Mitch Renkow, 2020. "The Impacts Of The Usda Broadband Loan And Grant Programs: Moving Toward Estimating A Rate Of Return," Economic Inquiry, Western Economic Association International, vol. 58(3), pages 1129-1145, July.
    18. Lee, Hyun Ji & Whitacre, Brian, 2017. "Estimating willingness-to-pay for broadband attributes among low-income consumers: Results from two FCC lifeline pilot projects," Telecommunications Policy, Elsevier, vol. 41(9), pages 769-780.
    19. Briglauer, Wolfgang & Dürr, Niklas S. & Gugler, Klaus, 2019. "A retrospective study on the regional benefits and spillover effects of high-speed broadband networks: Evidence from German counties," ZEW Discussion Papers 19-026, ZEW - Leibniz Centre for European Economic Research.
    20. Stefano Magrini & Alessandro Spiganti, 2021. "The Day After Covid-19: Implications for Growth, Specialization, and Inequality," Working Papers 2021:13, Department of Economics, University of Venice "Ca' Foscari".

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:telpol:v:46:y:2022:i:8:s0308596122000672. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/30471/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.