Broadband Communities

NOV-DEC 2017

BROADBAND COMMUNITIES is the leading source of information on digital and broadband technologies for buildings and communities. Our editorial aims to accelerate the deployment of Fiber-To-The-Home and Fiber-To-The-Premises.

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74 | BROADBAND COMMUNITIES | | NOVEMBER/DECEMBER 2017 ECONOMIC DEVELOPMENT Readings on Broadband and the Economy Broadband continues to be an important economic driver, researchers say – but the story is getting more complicated. A BBC Staff Report O ver the two decades since broadband internet access started to become available, researchers have asked whether it contributed in a positive way to economic activity. During that time, many studies have confirmed broadband's impact on the economy. Following are excerpts from this year's batch of research reports. As these readings show, the answer seems to be, as Facebook might put it, "It's complicated." To summarize the authors' findings, • Higher broadband speeds lead to higher GDP, but the effect tapers off at higher income levels. • Rural firms are more likely to locate where broadband is available, but it may be too late now for the have-not areas to catch up. • RUS broadband loans help boost the farm economy, but only in metro-adjacent counties. • Broadband can boost rural employment, but only in metro-adjacent counties or where workers' skills have been upgraded. • e economic benefit of the internet can't be measured just in terms of new jobs – it includes the creation of new categories of goods and services. • As next-generation networks are deployed, even more new types of goods and services will be created. Broadband Speeds Matter Impact of Broadband Speed on Economic Outputs: An Empirical Study of OECD Countries, Economics and Business Review, 2017 By Chatchai Kongaut / National Broadcasting and Telecommunications Commission of ailand and Erik Bohlin / Chalmers University of Technology is study estimates the relationship between broadband speed and economic outputs. e results show that broadband speed contributes positively to economic outputs, such as GDP. e effects of broadband speed are also greater in countries with lower income. e policy recommendation is therefore that countries should focus on and encourage high-speed broadband infrastructure and its adoption in their national broadband plans and policies. … is study does not aim to quantify the exact effects of broadband speed on GDP. Instead it points out the importance of high- speed broadband, since the causality of high- speed broadband and economic outputs in all the models shows that the results in all models

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