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Economic crisis and benefits of the Internet: differentiated Internet usage by employment status

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  • Raquel Campos
  • María Arrazola
  • José de Hevia

Abstract

Using data from the Spanish Survey on Equipment and Use of ICTs in Households for 2007–2011, this paper evaluates the effect of employment status on the diffusion of the Internet among the labor force. We use a bivariate probit with sample selection model to account for a potential selection bias that arises because online usage is only observed for Internet users. Our results show that, controlling for income, employment influences online adoption and usage, and we find evidence of a digital divide in adoption and usage by education and age among the labor force. Employed individuals are more likely to have accessed the Internet and used it more frequently than the unemployed and for different activities. However, conditional on adoption, they do not use the Internet for more personal activities. These findings suggest that firms promote and subsidize Internet access, but this sponsored access does not translate into more personal use.

Suggested Citation

  • Raquel Campos & María Arrazola & José de Hevia, 2017. "Economic crisis and benefits of the Internet: differentiated Internet usage by employment status," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 26(3), pages 269-294, April.
    • Handle: RePEc:taf:ecinnt:v:26:y:2017:i:3:p:269-294
    DOI: 10.1080/10438599.2016.1188524
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    Cited by:

    1. Grishchenko, Natalia, 2020. "The gap not only closes: Resistance and reverse shifts in the digital divide in Russia," Telecommunications Policy, Elsevier, vol. 44(8).
    2. Monica Răileanu Szeles & Mihaela Simionescu, 2020. "Regional Patterns and Drivers of the EU Digital Economy," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 150(1), pages 95-119, July.
    3. Lythreatis, Sophie & Singh, Sanjay Kumar & El-Kassar, Abdul-Nasser, 2022. "The digital divide: A review and future research agenda," Technological Forecasting and Social Change, Elsevier, vol. 175(C).

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