Quantifying the Overstatement in Broadband Availability from the Form 477 Data: An Econometric Approach
Phoenix Center Perspectives 19–03, July 2019
9 Pages Posted: 17 Jul 2019
Date Written: July 11, 2019
In this Perspective, I attempt to quantify, by a Spatial Logit Model, the magnitude of the overstatement of broadband availability resulting from the FCC's all-in assumption whereby an entire census block is deemed to have broadband available when a single home does so. Given the computational demands, I estimate the overstatement rate using the Form 477 data for six states (California, Georgia, Pennsylvania, Texas, West Virginia, and Wyoming) and then extrapolate to the nation.The overstatement rate is 3.3 percentage points, suggesting that about four million homes are said to have broadband that may not.
Keywords: Broadband, Broadband Speed, 477 Data, Federal Communications Commission, Broadband Availability
JEL Classification: L86
Suggested Citation: Suggested Citation