Regulatory factors influencing Internet access in Australia and China: a comparative analysis

Internet access is determined by a combination of a widely available telecommunication infrastructure and affordability of Internet services, which are closely related to government policies (IT Group. (1999). Like other countries, both Australia and China have considered the Internet a powerful tool for national development economically and socially. As Internet growth becomes more and more significant, it becomes important to address the extent to which the underlying communication policies influence current growth rates.This paper provides a comparative review of policy approaches to regulating the Internet in both China and Australia. This study aims to identify the regulatory factors affecting Internet access in terms of availability and affordability, especially those factors which encourage the creation of a policy and regulatory environment favourable to the development of Internet infrastructure and access.This paper examines the linkages between regulatory regimes, market environments and Internet access in both China and Australia. The preliminary result suggests that government policies governing the telecommunications service market and promoting information infrastructure have a significant impact on the affordability and availability of Internet access. The most significant factor is the level of competition permitted in the telecommunication sector. It has become clear that further regulatory initiatives such as deregulatory mechanisms and interconnection regimes are needed to establish a more competitive environment for Internet access in both countries, and more particularly in China.     

Mainframes and mandarins: The impact of internet use on institutional trust in East Asia

The roles of contextual determinants such as culture and political regime in existing studies of Internet use and institutional trust remain underexplored. Adopting a cultural-institutional perspective, we ask: How does Internet use relate to institutional trust? Under what conditions is the impact of Internet use on institutional trust most potent? Do authoritarian orientation and perceived institutional responsiveness mediate the relationship? Is this mediating process moderated by the degree of democratic freedom? A total of 20,667 respondents from 14 East Asian countries/territories completed questionnaires. Our results show that the indirect effect of Internet use on institutional trust via authoritarian orientation was stronger for countries/territories with a low degree of democratic freedom, while the indirect effect of Internet use on institutional trust via perceived institutional responsiveness was stronger for countries/territories with a higher degree of democratic freedom.     

Income disparity and digital divide: The Internet Consumption Model and cross-country empirical research

The Internet Consumption Model was developed by integrating the theoretical constructs from the Technology Acceptance Model (TAM) and the Consumption Theory. This model intended to extend the TAM by adding accessibility and affordability, two important factors that influence the Internet diffusion. It also intended to extend the Consumption Theory by adding the two psychological factors from the TAM—the perceived ease of use (PEU) and the perceived usefulness (PU) – as the determinants of preference. The theoretical extensions aimed at explaining the Internet consumption behavior by utilizing the vital constructs of the two major theories. Based on the Internet Consumption Model, the cross-country empirical research was conducted to examine the relationships between income, Gini index, and the pattern of the Internet diffusion curve. It showed that the developed countries had steeper Internet diffusion curves and shorter time lags than the developing countries. The GDP per capita had positive correlation with the slope of Internet diffusion curve, while Gini index had negative correlation. The divergence argument was strongly supported by the empirical analyses of this study, especially for the countries approaching the two extremes of the income spectrum.     

Push-button-autocracy in Tunisia: Analysing the role of Internet infrastructure,institutions and international markets in creating a Tunisian censorship regime

Internet censorship and control have been commonplace in Tunisia since the Internet became available to then public in 1996. It was not until the last days of the Jasmine revolution in January 2011 that the Tunisian government shut down the censorship regime, raising numerous questions about Internet censorship in Tunisia. This article will look at how former Tunisian president Ben Ali was able to shut down the Internet censorship regime within a matter of hours. In order to answer this question, it looks at the history of the Tunisian Internet and its Internet censorship regime, before analysing Internet architecture, Internet institutions, functional differentiation between elements of the regime and the role of international technology markets. Each of these factors contributes to the overall censorship regime and helps understand how former President Ben Ali was able to shutdown Internet censorship within a matter of hours. In conclusion, tracing the genesis of the Tunisian censorship regime may contribute to understanding the role of institutional, architectural and market-based factors in enabling other censorship regimes across the world.     

Estimating broadband diffusion in the EU using NUTS 1 regional data

In this paper we use panel data on NUTS 1 regional data for 27 EU countries in the years 2006–2010 to analyze determinants of broadband diffusion. We estimate both linear demand specification and the logistic diffusion function. We find that, after controlling for regional differences due to socioeconomic factors, inter-platform competition approximated by an inter-platform Herfindahl index has a significant positive impact on broadband diffusion. Broadband deployment is lower in countries in which DSL has a greater share in Internet access and it is higher in countries in which cable modem has a greater share in Internet access. Moreover, we find that competition between DSL providers has a significant and positive impact on broadband penetration. First, higher prices for a fully unbundled local loop connection, which represent the cost of providing copper-based Internet services, have a significant and negative impact on broadband penetration. Second, a greater incumbent share in DSL connections has a significant and negative impact on broadband penetration.     

Does computer penetration increase farmers’ income? An empirical study from China

The diffusion and adoption of modern information technology provide new chance for China to close urban-rural income gap. This paper uses China's provincial panel data from 2002 to 2013 to investigate the effect of computer penetration on rural residents' income. A public program aiming to connect every village with broadband Internet and other rural facilities provides plausibly exogenous variation in rural residents' availability and adoption of the broadband Internet, which is used to explore the instrument variable for rural computer penetration. The results show that rural computer penetration tends to increase rural residents' income over time, but the average effect remains limited. The dynamic panel threshold effects model, which allows for both the threshold variable and other covariates to be endogenous, is further used to explore the constraints of the income-increase effect of rural computer penetration. It shows that the effect is at least doubled over the average effect estimated from instrument variables method, once the digital divide causes are removed. Our findings have important implications for the government to increase rural residents' income and reduce urban-rural income gap by encouraging rural computer usage and removing the digital divide.     

Spatial dimensions of Internet activity

The global diffusion of Internet activity is advancing at an unprecedented rate. However, it is increasingly apparent that the diffusion of information technologies and their associated activity is spatially uneven. Utilizing a comprehensive database of domain registrations, spatial–statistical methods, and a geographic information system (GIS), the spatial dimensions of Internet activity are explored for the state of Ohio. In addition to identifying considerable differences in Internet activity between urban and rural locales, results suggest that existing telecommunication infrastructure and educational institutions also play significant roles in the level of Internet-related activity for the region.     

The non-linear relationship between ICT diffusion and financial development

This research investigates the linear and non-linear effects of information and communication technology (ICT) diffusion on financial development for 81 countries over the period 1990–2015 by employing the generalized-momentum method (GMM) and panel smooth transition regression (PSTR). Some main conclusions are presented as follows. First, comparing the different effects of ICT on financial development between the high-income group and the middle- & low-income group, telephone and Internet positively influences both groups’ financial development, whereas mobile cellular causes a negative effect in high-income countries, but a positive effect in middle- & low-income countries. Second, the growth of the Internet and telephones raises the financial development in all regions, while mobile cellular growth positively affects financial development only in Africa. Finally, strong evidence appears that the PSTR models capture the smooth non-linear effects of ICT diffusion on financial development, in which the effect of ICT diffusion on financial development is positive in the lower level of ICT diffusion, but turns negative in the higher level of ICT diffusion.     

Beyond access: A relational and resource-based model of household Internet adoption in isolated communities

Isolated rural communities face specific challenges associated with their geographical context in the digital inclusion process. Thus, based on a relational and resource-based model as well as diffusion research, this study explored personal, positional factors, as well as material and social resources of household Internet connection in remote communities that received infrastructure access for the first time between 2010 and 2011 in Chile. A face-to-face representative survey conducted in 22 communities revealed that, among personal variables, age and innovative personality played a role in household Internet adoption. Material resources such as income and transport connectivity were also relevant. However, social resources were among the most significant predictors. That is, the presence of children in the household and larger social networks were associated with greater chances of Internet connection.     

On the dual-stacking transition to IPv6: A forlorn hope?

The assumption that IPv6 will inevitably replace IPv4 as the dominant network layer protocol on the Internet is almost universal. A failure of IPv6 to diffuse is thought to have far-reaching and long-lasting economic and social consequences, yet there have been no prior analyses of the dual-stacking transition mechanism by which IPv6 diffusion is expected to be achieved in order to understand whether it is likely to succeed. Guided by economic theory, this paper presents such an analysis, and concludes that the dual-stacking transition strategy is unlikely to work, leaving the Internet with no workable means of achieving migration to IPv6. The paper concludes with a number of recommendations for regulatory and policy bodies, end-user organisations and network operators.     

The evolution of the internet of things industry and market in China: An interplay of institutions,demands and supply

This paper seeks to provide some explanation as to how demand-, supply- and institutions-related factors in China have affected the creation and diffusion of Internet of Things (IoT)-related products and services. Concerning demand side factors the paper demonstrates how potential market size and existing technology trajectory work in favor of IoT diffusion. As a related demand side factor the paper argues that, in terms of the technological trajectory, China has started farther from the frontier than most industrialized countries. The degree of incremental benefit from the IoT is thus higher in the country. As to the supply side factors, the article promotes an understanding of how Chinese technology companies have capitalized on a huge user base to develop IoT-based applications. It also suggests that technologies and expertise provided by foreign multinationals have also played crucial roles. Regarding formal institutions, the government's proactive policies have been a major factor in the IoT's evolution. It is also in the Chinese government's interest to develop IoT products to make censorship and surveillance more effective. Regarding informal institutions, Chinese consumers are less concerned than Westerners about being tracked and monitored, which provides a favorable condition for the adoption of IoT-enabled devices. Nonetheless, this condition is changing due to increasing abuse of consumer privacy. China and the U.S. are compared in terms of diffusion, key determinants, performance indicators and impacts of the IoT in order to understand the areas that China outperforms—and underperforms—the U.S. Some indicators are proposed to gauge the IoT-related performance and the impacts of the IoT.     

Different paths to universal access: The impact of policy and regulation on broadband diffusion in the developed and developing worlds

The authors examine the broadband digital divide by analyzing the impact of policy and regulation on broadband Internet diffusion. Their multiple regression analysis shows factors that determine broadband diffusion in technologically developed countries do not necessarily have the same impact in less developed countries. They show that in technologically developed countries, there is greater broadband diffusion in countries that make a higher financial investment in information and communication technologies (ICTs), have effective governing practices at the national level, have higher levels of education, and are more urban. In technologically developing nations, a competitive telecommunications sector and higher investment in ICTs lead to greater broadband diffusion, with investment having an even larger impact in the developing world than in the developed world. In addition, stronger democratic political institutions, higher levels of national income and lower levels of income inequality increase diffusion, but the presence of a national telecommunications regulatory authority has a negative impact. These results suggest that the path to widespread availability and use of broadband requires different strategies depending on a nation's level of technological development.     

Internet telephony and the international accounting rate system

This paper attempts to provide an economic framework for assessing why and how Internet telephony may affect the international accounting rate system in particular, and communication over circuit switched networks in general. It reviews the regulatory treatment of Internet telephony, and compares the costs and prices of making international calls over the Internet and the public switched telephone network (PSTN). It argues that Internet telephony is unlikely to prove central to the downfall of the international system; other technologies, such as resale, will play a larger role. The paper also suggests a general framework in which to analyse competition between networks (such as the Internet and the PSTN). This framework indicates that differences in the preferences of end users for congestion will drive networks to specialise.     

Effects of data localization on digital trade: An agent-based modeling approach

Post the Snowden and Cambridge Analytica episodes, concerns have been raised by governments and regulators on protecting consumer data collected and transmitted by various digital firms. Driven by concerns of privacy, national security, surveillance, and cyber terrorism, governments around the world have been erecting barriers in cyberspace through data localization. The extent of data localization varies from free flow of data, to stringent restrictions requiring all data to be stored only within the territorial jurisdiction of the country. Though there are certain legitimate concerns regarding protection of personal data, scholars and liberal economists have long proclaimed that any restrictions on the Internet and associated digital trade will have serious economic consequences. Data localization affects digital trade between consumers and producers of digital services to varying degrees. In this paper, we use agent based modeling to study the properties and behaviours of consumers and producers under varying data localization regimes. An augmented gravity model of trade with iceberg coefficient is incorporated to reflect distance-related costs between producers and consumers. Varying data localization compliance costs are included to reflect the effect of non-tariff barriers of data restrictions. Our extensive simulations indicate that there is often clustering of consumers around local firms in highly restrictive data localization regimes, thus enabling local firms to effectively compete against global multinationals. However, results also indicate that while free cross-border data flow enables intense competition amongst producers, data localization restrictions often limit consumer choice due to its effect on price and quality of services.     

Trade Unions and Political Participation in the European Union: Still Providing a Democratic Dividend?

Decline in electoral participation is a feature of many Western democracies. In this paper, we focus on the relationship between trade union membership and political participation. Workplace authority structures, trade union membership and union presence have been identified as important influences on electoral participation. Based on a survey of employees in 15 member states of the European Union, we test for a relationship between political participation, union membership and union workplace presence. The independent effect of trade union membership on political participation was found to be both significant and positive and is associated with higher levels of political activism and electoral participation. Furthermore, an institutional context that facilitates high levels of union density seems likely to have an overall positive effect on citizen participation.     

Weaving the Western Web: explaining differences in Internet connectivity among OECD countries

Despite the Internet's increasing importance, there is little social scientific work that addresses its diffusion. Our knowledge is especially limited with respect to the conditions that encourage its spread across nations. This paper takes a first step in explaining the differences in Internet connectivity among OECD countries. After examining the impact of economic indicators, human capital, institutional legal environment, and existing technological infrastructure, the empirical analyses show that economic wealth and telecommunications policy are the most salient predictors of a nation's Internet connectivity.     

Dynamic Use Diffusion Model in a Cross‐National Context: A Comparative Study of the United States,Sweden, and India

This study proposes a model of dynamic use diffusion that serves as a basis for investigating post‐adoption technology‐usage behavior. Dynamic use diffusion measures the extent to which technology usage has evolved since the time of adoption. Herein, antecedents and consequences of dynamic use diffusion are investigated. A large‐scale, random sample survey was conducted in the United States, Sweden, and India on the use of Internet and computing technology. The survey results suggest that while the antecedents of dynamic use diffusion are similar across the three countries, the consequences are somewhat different for India. These differences can be attributed to the national cultural differences of India compared with the United States and Sweden with regard to power distance beliefs.     

Exploring the potential of wireless technologies to accelerate universal Internet access in Ghana

Ghana was one of the first countries in sub-Saharan Africa to be connected to the Internet, yet has very low Internet usage (5.3 users per 100 inhabitants). A qualitative study including in-depth interviews with ISPs explored Internet diffusion in Ghana. Findings suggest that due to Ghana's inefficient and outdated fixed-line infrastructure, universal Internet access goals might not be achievable through fixed-line technologies. Rather, wireless technologies may be more efficient. However, high access costs continue to be a barrier. Policy options to encourage widespread deployment of wireless broadband and cost reduction are presented as suggestions for further research. These include using universal service funds to expand the national backbone with an open access high capacity wireless backbone to reach unserved and underserved areas, reducing license and regulatory fees for the wireless industry to encourage coverage and capacity expansion, and mandatory infrastructure sharing to reduce cost.     

Shades of Authoritarianism and State–Labour Relations in China

Attempts to analyse authoritarianism in China tend towards a static focus on the state that is homogeneous across time. We argue for a more nuanced approach that captures the dynamism and contours of state–civil society relations, and state–labour relations, in particular, in authoritarian states. Taking state–labour relations as a bellweather, we conceptualize ‘shades of authoritarianism’ as a framework for better understanding the complexities and evolution of state–society relations in authoritarian states. We illustrate this through the case of China, distinguishing different shades of authoritarianism in the Hu‐Wen era (2002–2012) and in the current regime of Xi Jinping