Uso da banda larga via satélite para universalização do acesso à banda larga e como indutor de redução das desigualdades regionais

Satellite based broadband use as a strategy to access universalization and to reduce regional inequalities

Luciano De Freitas (), Renato Couto Rampaso and Leonardo Euler de Morais

MPRA Paper from University Library of Munich, Germany

Abstract: Broadband is a major driver of economic and social development. Despite its importance, almost half of Brazilian households are deprived of access to broadband, a situation that worsens in rural locations and peripheries of urban centers. Among the reasons for such performance are the geographic dimension of the country and the tax burden on the service. This study aims to evaluate the potential of satellite broadband as a technological means to universalize the service and reduce the digital divide in Brazil. Evidences are formulated from an econometric approach whose main objective is to evaluate the demand for broadband in Brazil. To this end, it departs from observations on socioeconomic and regional aspects for 5,568 municipalities. Hypothetical variations of the Goods and Services Circulation Tax (ICMS) are introduced in the model in order to forecast its effect on the demand for the service. This variable is a fundamental aspect for Broadband diffusion insofar as it accounts for a relevant portion of the final price to the consumer. The evidence shows that tax relief represents an important incentive for the spread of broadband in areas that are deprived of the service, with effects on the reduction of social and regional inequalities.

Keywords: Satellite Broadband; Regional Inequality; Tax Burden. (search for similar items in EconPapers)
JEL-codes: C1 H3 O1 O33 O38 (search for similar items in EconPapers)
Date: 2011-11
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