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

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  • 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
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    2. 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.
    3. Anil Rupasingha & John Pender & Ryan Williams, 2024. "Broadband and rural development: Impacts of the U.S. Department of Agriculture Broadband Initiatives Program on saving and creating jobs," Economic Inquiry, Western Economic Association International, vol. 62(2), pages 698-721, April.

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