There is an apparently-direct correlation between use of broadband internet access services and the general level of economic development in any country.
In other words, household income and use of higher-speed internet access is directly correlated.
So it is perhaps not unusual that some try and establish a causal relationship between deployment of broadband facilities and economic growth, home prices or income.
Some believe that access to a fiber-to-home internet access connection can increase home value as much as three percent.
The Fiber Broadband Association also claims gross domestic product is higher where gigabit internet access is available.
Likewise, the association claims that optical fiber access increases the value of multiple dwelling units.
Most would likely agree that a correlation between home prices, economic health and internet access is logical. Perhaps few of us really believe internet access “causes” either higher home prices or economic growth. In fact, it might be more logical to argue that areas with h stronger economic growth drive job growth and average wages, which in turn drive higher average household incomes; higher discretionary income and therefore higher demand for gigabit and higher-speed internet access.
In other words, correlation is not causation. And if there is causation, wealthier consumers may drive demand for more-expensive internet access. That, in fact, is precisely the model Google Fiber, AT&T and many independent internet service providers have done, when marketing.
ISPs deploying gigabit access have deliberately selected wealthier neighborhoods, where demand is strongest.
To be sure, virtually nobody would discount the value of high-quality broadband access, anymore than observers would question the value of wastewater, clean water, electrical services, roads, airports or railways.
What is not clear is a causal relationship between utility, transportation and communication services and economic growth, housing prices, average wages or job creation. “Necessary but not sufficient” is a reasonable assumption.
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