Toward Understanding U.S. Rural-Urban Differences in Broadband Internet Adoption and Use - Adoption, Usage, and Global Impact of Broadband Technologies - page 156

Chapter 10
Toward Understanding U.S.
Rural-Urban Differences
in Broadband Internet
Adoption and Use

Peter Stenberg
Economic Research Service, USDA 1 , USA

Mitchell Morehart
Economic Research Service, USDA, USA

ABSTRACT

The Internet has become entrenched in the U.S. economy over the last 15 years;access and use of the
Internet has increased for all regions of the United States, most types of households and work places,
and all income groups. In this chapter we explore how access technologies may affect household on-line
activity patterns and address some of the aspects that differentiate urban and rural household Internet
use. Rural households are less likely than urban households in having broadband Internet access but
this varies regionally across the country. Study suggests that broadband Internet access is no longer
perceived a luxury, but as a necessity and that there is pent-up demand for broadband Internet access
in rural areas.

INTRODUCTION with a longer history of broadband availability

(Stenberg, 2008).
Government policies that encourage deploy-
ment of broadband Internet access services have
broadened broadband availability in rural Ameri-
ca. The 2008 Farm Act (Food, Conservation, and
Energy Act of 2008) reauthorized U.S. Department
of Agriculture (USDA)'s telemedicine, distance
learning, and rural broadband access grant and
loan programs. The American Recovery and Rein-

Analysis suggests that rural economies generally
benefit from broadband Internet availability. In
comparing American counties that had broadband
access relatively early (by 2000) with similarly
situated counties that had little or no broadband
access as of 2000, employment growth was higher
and nonfarm private earnings greater in counties