Rural Economic Development Update
(Focus on Broadband)
Brian Whitacre
Associate Professor & Extension Economist
OSU Ag Econ
5-19-2014
Agenda
1. Online Sources of information for:
• Broadband availability
• Broadband adoption
2. Recent research on broadband & the
rural economy
3. E-commerce workshops: current (and
future)
1. Online Data Sources for Broadband
• Broadband Availability
– National Broadband Map
(www.broadbandmap.gov)
Type in an address and
see what type of
broadband is available
- Data updated every 6 months
- Currently as of June 2013
National Broadband Map
• Explore how your county / community ranks in
terms of broadband availability!
Access to Wired BB Technology
National Broadband Map
• Or, select “Explore the Maps” to zoom in on
an area around you
Select Technology Type
DSL
Cable
National Broadband Map
• Also includes Mobile Wireless Coverage…
– Is this realistic? You tell me…
National Broadband Map
• Can also look at speeds available, or number
of broadband providers (select at bottom)
> 3 MBPS
> 10 MBPS
National Broadband Map
• GIS data also available
1. Online Data Sources for Broadband
• Broadband Adoption
– Federal Communication Commission Data
– http://transition.fcc.gov/wcb/iatd/comp.html
County & Tract-level
data (about halfway
down page)
Categorical Adoption Data:
0-20%
20-40%
40-60%
60-80%
80-100%
FCC Adoption Data
• Household Broadband Adoption
Data is also available at the Census Tract level
2. Research Update
• 100+ page report:
– Quantifying the “Digital
Divide”
– What impedes
broadband adoption in
rural areas
– Broadband’s
contribution to
economic health in rural
areas
2. Research Update
2. Research Update
The Metro / Non-metro “Digital Divide”
Household Broadband Adoption Rates by Metro/NM Status, 2003 and 2010
2. Research Update
2. Research Update
Factors Impacting Rural Broadband Adoption
What is Driving Broadband Adoption at the COUNTY Level?
+ Impact: education, income, population, (though not in non-core counties); high
concentrations of jobs in real estate / information
- Impact: share of non-farm proprietors, race / ethnic categories (only in non-core)
Availability Measures Impacting Adoption
2011
2010
•
High # Providers (>6)
•
•
Low # Providers (<3)
Low Download
Speed (<3-6mbps)
•
High Download
Speed (>10 mbps)
•
Low Download
Speed (<3-6mbps)
2. Research Update
Broadband and the Rural Economy
We compared rural counties that had high levels of broadband
adoption (60+%) with otherwise similar rural counties that did not…
Income Grew Faster
Unemployment Grew Slower
2. Research Update
Broadband and the Rural Economy
We also compared rural counties that had low levels of broadband
adoption (<40%) with otherwise similar rural counties that did not…
Lost More Firms
Lost More Jobs
2. Research Update
What about rural counties that saw increased broadband
adoption between 2008 and 2011?
• Increases in broadband adoption had a positive impact on
changes in median household income and total employment
(analysis limited to non-metro counties)
• Particularly impressive – focuses on only recent adoption and over a
short period of time
• No impacts on economic health indicators when using change in
residential providers rather than broadband adoption
3. E-commerce Workshops
• Extension program focused on small
businesses trying to build their web presence
• Partner with Rural Enterprises, Inc (REI)
– Often team up with local chambers / banks /
technology centers
• Started in 2007, has progressed yearly…
• Won AAEA Extension award in 2013
3. Current OSU E-commerce Workshops
Workshop
Length
Computers Avg # of
Needed?
Attendees
Workshops
/ Attendees
to Date
Small Business Websites
3 hours
Yes
10-15
18 / 310
3 hours
Yes
10-15
15 / 170
3 hours
Yes
10-20
10 / 120
3 hours
Yes
10-15
20 / 250
•Planning out your website
•Website Building 101
• Actually building a site using templates
PayPal 101
• Implementing PayPal
•Actually installing PayPal on an example site
•Other PayPal tips & tricks
Ins and Outs of Online Storefronts
• Getting started selling online
•Primer for Amazon / Yahoo / eBay / etsy stores
•Pros and cons of each option
Search Engine Optimization
• 5 proven techniques for SEO
•Pay-per-click advertising
•Social media basics, including Facebook ads
•Installing and using Google Analytics
Future OSU E-commerce Workshops(?)
• These HAVE NOT been developed yet…
feedback on additional topics appreciated!
– Websites for the small screen (i.e. smartphones)
– Selling directly on Facebook
– Others??