Household Demand for Internet Connection

Ross Kelly and Philip Lewis

Journal of Media Economics, 2001, vol. 14, issue 4, 249-265

Abstract: This article examines the determinants of Internet connections in Western Australia and some of the regional and socioeconomic differences in Internet adoption. Data on Internet connections from a number of Internet Service Providers (ISPs) are matched to demographic variables, such as household income and other socioeconomic and regional characteristics. Data provided by ISPs do not distinguish whether connections are actively being used, neither do they indicate anything about the intensity of use. Rather, they simply provide the total number of connections at the point-of-presence (POP). The study proceeds on the assumption that connections are the best indicator of the extent of Internet access in any given area at the time of the study. The estimates provide information on the major factors affecting household Internet connection and, therefore, provide information on how factors such as economic and demographic change impact Internet usage. This provides additional insights into the demand for e-commerce and will inform policy makers about the limitations to access of on-line services by the most disadvantaged in the community.

Date: 2001
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DOI: 10.1207/S15327736ME1404_4

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