The Broadband Adoption Index: Improving Measurements and Comparisons of Broadband Deployment and Adoption

Phoenix Center Policy Paper No. 36

61 Pages Posted: 19 Aug 2009

See all articles by Thomas Randolph Beard

Thomas Randolph Beard

Auburn University - Department of Economics

George S. Ford

Phoenix Center for Advanced Legal & Economic Public Policy Studies

Lawrence J. Spiwak

Phoenix Center for Advanced Legal & Economic Public Policy Studies

Multiple version iconThere are 2 versions of this paper

Date Written: July 1, 2009

Abstract

Countries around the world are increasingly concerned as to whether the adoption of broadband technology by their respective citizens is sufficient to support economic growth and social development. Unfortunately, such concerns are often expressed in terms of where a country ranks among its peers by means of raw adoption numbers. Such raw data are often misleading and incomplete. In this Paper, we propose a different and more policy-relevant approach to adoption measurement. We develop a value-based Broadband Adoption Index (“BAI”) that compares the actual value to society that results from the adoption of broadband technology to a target level of adoption value. This target level will vary from country to country and is a function of the social value of broadband connectivity, measured as the difference in the social benefits and the costs of broadband. The BAI is specifically designed to accommodate and include the value of different connection modalities like mobile broadband into a single index, something that merely summing the number of connections cannot do. We believe that policymakers can adopt aspects of the BAI approach immediately, with particular attention to collecting and using proper information for policy decisions.

Keywords: Broadband, Broadband Adoption Index, OECD, Broadband Ranking, International Ranking, Per Capita, Social Value

JEL Classification: K23, L11, L12, L13, L51, L96, O33, O38, O39, O47, O57, P50

Suggested Citation

Beard, Thomas Randolph and Ford, George S. and Spiwak, Lawrence J., The Broadband Adoption Index: Improving Measurements and Comparisons of Broadband Deployment and Adoption (July 1, 2009). Phoenix Center Policy Paper No. 36. Available at SSRN: https://ssrn.com/abstract=1457854 or http://dx.doi.org/10.2139/ssrn.1457854

Thomas Randolph Beard

Auburn University - Department of Economics ( email )

415 W. Magnolia
Auburn, AL 36849-5242
United States

George S. Ford

Phoenix Center for Advanced Legal & Economic Public Policy Studies ( email )

5335 Wisconsin Avenue, NW
Suite 440
Washington, DC 20015
United States

Lawrence J. Spiwak (Contact Author)

Phoenix Center for Advanced Legal & Economic Public Policy Studies ( email )

5335 Wisconsin Avenue, NW
Suite 440
Washington, DC 20015
United States
202-274-0235 (Phone)
202-318-4909 (Fax)

HOME PAGE: http://www.phoenix-center.org

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