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The Cost Of Broadband In Every Rural Home

dave562 writes "In an analysis of the effectiveness of the the 2009 stimulus program (American Recovery and Reinvestment Act of 2009 or ARRA), one of the programs that was investigated was the project to bring broadband access to rural America. Some real interesting numbers popped out. Quoting the article: 'Eisenach and Caves looked at three areas that received stimulus funds, in the form of loans and direct grants, to expand broadband access in Southwestern Montana, Northwestern Kansas, and Northeastern Minnesota. The median household income in these areas is between $40,100 and $50,900. The median home prices are between $94,400 and $189,000.' So how much did it cost per unserved household to get them broadband access? A whopping $349,234, or many multiples of household income, and significantly more than the cost of a home itself.'"

2 of 381 comments (clear)

  1. Re:I think we're overthinking this by dbc · · Score: 3, Informative

    Hang on city boy, that's not true at all. My brother has been paying high fees for a satellite feed out on the farm so that he can get weather and market reports and trade commodity futures in a timely fashion. An internet connect is as important to progressive farmers as it is to any other business these days. The sad thing is that his satellite feed out in an area with less that one family per square mile is a better connection than my DSL connection here in the middle of Silicon Valley in an area of $1M+ homes.

  2. Re:Think harder... by brit74 · · Score: 3, Informative
    Heh. Let's not forget that Republicans are also firmly behind farm subsidies. Heck, farm country is where a lot of Republicans get votes.

    Republicans dodge farm subsidy cuts
    June 15, 2011

    Republicans have quietly maneuvered to prevent a House spending bill from chipping away at federal farm subsidies, instead forging ahead with much larger cuts to domestic and international food aid.

    The GOP move will probably prevent up to $167 million in cuts in direct payments to farmers, including some of the nation’s wealthiest. The maneuver, along with the Senate’s refusal Tuesday to end a $5 billion annual tax subsidy for ethanol-gasoline blends, illustrates just how difficult it will be for Congress to come up with even a fraction of the trillions in budget savings over the next decade that Republicans have promised.
    ...
    Direct payments to farmers have been a frequent target of fiscal conservatives and other critics of farm programs because they are paid regardless of crop price or yield. They have survived for years, along with tens of billions annually in other subsidies for farmers, because a powerful coalition of farm state lawmakers in both parties has protected them.

    http://articles.boston.com/2011-06-15/news/29661688_1_farm-subsidy-cuts-farm-programs-direct-payments