4.2 Article

When, where, and for what industries does broadband foster establishment births?

Journal

PAPERS IN REGIONAL SCIENCE
Volume 100, Issue 6, Pages 1377-1401

Publisher

WILEY
DOI: 10.1111/pirs.12626

Keywords

broadband; establishment births; urban gradient

Funding

  1. Cultural and Cooperation Department of the Consulate General of France in Quebec City
  2. Region Auvergne-Rhone-Alpes

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Broadband has a positive effect on establishment births in urban and periurban areas, but little impact in rural areas. However, it can foster establishment births in rural areas in certain industries. There are no significant differences between the impacts of basic and fast broadband, except in larger urban centres with a skilled workforce.
We examine the effects of broadband on establishment births for five types of areas, six industries and two speed levels. Econometric results indicate that broadband has an overall positive effect in larger, medium and small urban centres and in periurban areas but has little or no impact in rural areas. However, industry-level analyses show that broadband can foster establishment births in rural areas in some industries, including selected knowledge-intensive industries. Finally, there are no great differences between the impacts of basic and fast broadband, except in larger urban centres with a higher skilled workforce able to use sophisticated applications.

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