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Study: Broadband Brings Jobs
Carnegie Mellon & MIT research
"For the first time, we can say unequivocally that broadband access does matter to the economy, just as common sense suggests it should", notes a new MIT and Carnegie Mellon study (pdf) on broadband's economic impact. "We estimate that between 1998 and 2002, communities in which mass-market broadband was available by December 1999 experienced more rapid growth in employment, the number of businesses overall, and businesses in IT-intensive sectors."
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garagerock
Premium Member
join:2002-06-14
Louisville, KY

1 recommendation

garagerock

Premium Member

well, Duh!

it's not like that new industrial park is going to keep filling high tech jobs on dialup. maybe it's just me.

Shack
join:2002-01-17
Bloomington, IN

Shack

Member

Re: well, Duh!

Roll your eyes all you want, but until reliable studies are done you will not convince th powers that be that investment in technology is important. It is a part of reality. This is a good thing that a well respected University is stating what many of us already understand.
gpancner
join:2001-09-27
Nine Mile Falls, WA

gpancner

Member

Re: well, Duh!

Northeast Ohio has broadband and HIGH unemployment. So how reliable (slanted) is the study anyway?

Shack
join:2002-01-17
Bloomington, IN

Shack

Member

Re: well, Duh!

I have no doubt that there are areas that will not meat the model. There is much more to it than simply offering broadband.

ronpin
Imagine Reality
join:2002-12-06
Nirvana

1 edit

ronpin

Member

May Krishna bless you very very much!


"Tank you - tank-you tank-you!!!
"Yes yes I scrape living til broad-a-ben come yes yes tank-you!"

Pirate515
Premium Member
join:2001-01-22
Brooklyn, NY

Pirate515

Premium Member

Re: May Krishna bless you very very much!

said by ronpin:

"Yes yes I scrape living til broad-a-ben come yes yes tank-you!"
Yes, and yo dauta kick my dog, now I'm going to get a loya and you ar going to go to jail'

Seriously, this is one of the reasons why I prefer OOL over Verizon DSL.

a
@unknown

a to garagerock

Anon

to garagerock
"For the first time, we can say unequivocally that broadband access does matter to the economy.

then go back to your dial up & we'll see about the economy.
a

a to garagerock

Anon

to garagerock
this is not a "well, Duh" issue. it's a common sence issue.

FFH5
Premium Member
join:2002-03-03
Tavistock NJ

FFH5

Premium Member

Actual positive results statistically inconclusive


From the study


Other than rental costs(and is higher rental costs actually a positive??), the perceived deifference in broadband vs non-broadband areas is 1% or less. I don't know about you, but I find that those %'s are satistically insignificant.

I agree that broadband MAY have a positive affect on a communities prosperity, but I don't think that this study has actually proved that at all.

ronpin
Imagine Reality
join:2002-12-06
Nirvana

ronpin

Member

Re: Actual positive results statistically inconclu

Statistics!!! -- like "Our economy has seen positive growth for 11 straight quarters" (precisely equal to length of Iraq War!)

garagerock
Premium Member
join:2002-06-14
Louisville, KY

garagerock

Premium Member

Re: Actual positive results statistically inconclu

»www.amazon.com/gp/produc ··· n=283155

RadioDoc

join:2000-05-11
La Grange, IL

1 recommendation

RadioDoc

Well...

Their data is at least three years old, and predates the telecom/dotcom bust. It also assumes that the broadband chicken laid the employment egg and not the other way around. It may be equally true that "mass-market broadband" was first deployed in areas experiencing "more rapid growth in employment" since that's where the money is (was?) to be made.

The telecom landscape has drastically changed since 1999 (or even 2002 for that matter) and I doubt this study will provide much more than an interesting historical factoid snapshot.

Combat Chuck
Too Many Cannibals
Premium Member
join:2001-11-29
Verona, PA

Combat Chuck

Premium Member

Re: Well...

said by RadioDoc:

It also assumes that the broadband chicken laid the employment egg and not the other way around. It may be equally true that "mass-market broadband" was first deployed in areas experiencing "more rapid growth in employment" since that's where the money is (was?) to be made.
My thoughts exactly.

richardpor
Fur it up
join:2003-04-19
Portland, OR

richardpor to RadioDoc

Member

to RadioDoc
Bingo We have a winner
You are correct. I believe the data was molded to fit the hypothesis. I can give two examples of the opposite. I live in Hillsboro Oregon which was the epicenter of the State of Oregon’s “investment” I.E. throwing more tax dollars tax abatements into infrastructure. For me personally I was in the thick of it as a Tech at ADC Kentrox., a maker of telecommunication equipment needed to build the high speed networks needed to fuel the dot “con” boom. As a result rents did rise and there was growth in broadband and economy due to the area attracting a more sophisticated customer base with more discretionary income to afford broadband. Broadband usage was fueled by increase of the economy and not the other way around.
The big problem was the growth in high tech masked serious problem cause by government. Economy grew in spite of high taxes and excessive regulation, here in Oregon. While high tech grew other areas floundered including the spectacular flop by Portland’s investment in a floating dry dock.
Eventually the bottom dropped out form the high tech economy. Many company were sold, moved out or went bankrupt. ADC Kentrox had downsize and relocated in 2000. I was laid us off in 2000. Eventually what left was sold to private equity firm.
The end result in the city’s and state’s folly was we have one of the highest unemployment rates in the country and lag in economy growth compared to other states. Even today one can drive around Intel’s campus and see the rows empty office and industrial spaces some built with government money still remain unoccupied even with the growth of Broadband in Portland.

Another that broadband doesn’t bring economic growth is Ashland Oregon municipal fiber network. It cost $9,000,000 and while it did bring $20 internet it, the city now must grapple with $180,000 of debt that t will balloon to $450,000 next year and can reach thee million by 2011. This is a big hit for a small rural town that is known for its Shakespeare festival. The city is already discussing tax increases.

pnh102
Reptiles Are Cuddly And Pretty
Premium Member
join:2002-05-02
Mount Airy, MD

1 edit

pnh102

Premium Member

Re: Well...

said by richardpor:

Another that broadband doesn’t bring economic growth is Ashland Oregon municipal fiber network. It cost $9,000,000 and while it did bring $20 internet it, the city now must grapple with $180,000 of debt that t will balloon to $450,000 next year and can reach thee million by 2011. This is a big hit for a small rural town that is known for its Shakespeare festival. The city is already discussing tax increases.
<sarcasm>
Wait a second... if you read BBR you would know that socialist broadband is the panacea for every town's problems! Got a drinking problem in your town? Implement socialist broadband! Got a drug or gang problem in your town? Implement socialist broadband! Your schools stink? Your football team needs a new stadium? Implement socialist broadband! Yup... these networks involve NO risks whatsoever to individual taxpayers and will ALWAYS pay for themselves forever and ever because telegraph and cable companies are EVIL!
</sarcasm>

Someone should give that city government a big, fat "SEE I TOLD YOU SO" award.

FightingBlue
@direcpc.com

FightingBlue

Anon

Re: Well...

Right, 'cause all of the hundreds of cities and towns that have deployed municipal broadband with positive results are a figment of people's imaginations. The same with all the studies which show that when internet access goes up, education goes up, and when education goes up, so does the economy. What we really need to sort out the situation is the opinion of some upper-middle-class suburbian ideologue whose idea of reasoned discourse is Fox News' latest list of reasons why anyone to the left of the Kaiser hates America, somebody who's so tight-fisted that they're unwilling to spare a dollar out of their pocket to help out the less fortunate, somebody who thinks that paying their fair share of the bill for roads, schools, and a national defense is the same thing as the government "stealing" their money. Yeah, that's what we need.