Skip to main content

Internet Use and Public Programs Participation: Evidence from Chile

  • Chapter
  • First Online:
Catalyzing Development through ICT Adoption

Abstract

The interest for ICT-related issues has notably increased in the last decades, leading to a flourishing of studies on their impact on many dimensions. Despite the consensus about the importance of ICT effects at micro level, there is lack of analysis on the existence, magnitude and direction of these effects. This article aims to contribute to the literature by performing an analysis of the relationship between Internet use and information diffusion at household level in Chile. By using data from National Household Surveys, we estimate the effect of Internet use at household level on the probability of obtaining a scholarship for young students in the household. The results suggest that ICT use is significantly and positively correlated with the probability of primary students to be granted by a scholarship program, illustrating how ICT improves communication access and participation in social programs. Given that ICT diffusion is largely determined by socio-economic dimensions, the results also illustrate how ICT could reinforce pre-existing inequalities. This highlights the need for proactive public policies in addressing the digital divide.

The opinions expressed in this article are those of the authors and do not necessarily reflect the views of neither the Inter-American Development Bank nor the United Nations. Remaining errors are authors’ exclusive responsibility.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 129.00
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD 169.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info
Hardcover Book
USD 169.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

Notes

  1. 1.

    For example, many governments are using ICT, particularly E-government tools, in order to strengthen their openness and transparency [8].

  2. 2.

    However, a similar study evaluated the effect of Internet use on political participation in Belgium, but it cannot establish a clear relation between time spent on the Internet and propensity to participate in public life [10].

  3. 3.

    In the case of Chile, the primary scholarship system is complex and covers a wide range of social and economic issues. Indeed, depending on the program, there are several different facilitations that can be provided to students and families, such as monetary payments, food and housing, among others. Basically, the scholarships can be categorized in two main groups. The first group provides a direct pecuniary assistance of free disposal for families. The second group focuses on student reallocation from isolated geographical areas to areas where there are primary schools, nutrition daily provisions and college-study-essentials support.

  4. 4.

    In order to take into account economies of scale in household consumption and obtain more precise income elasticity, we use an equivalent income measure, which is the total household income divided by the so-called LIS (Luxembourg Income Studies) equivalence scale. It is defined as the square root of the number of household members [21].

Bibliography

  1. The World Bank: World Development Report 2016. (2016). Digital dividends. Washington, DC: World Bank.

    Google Scholar 

  2. Qiang, C.Z., Rossotto, C., Kimura, K. (2009). Economic impacts of broadband. In Information and communications for development. Washington, DC: World Bank.

    Google Scholar 

  3. Czernich, N., Falck, O., Kretschmer, T., & Woessmann, L. (2011). Broadband infrastructure and economic growth. The Economic Journal, 121(552), 505–532.

    Article  Google Scholar 

  4. Oliner, S., & Sichel, D. (2000). The resurgence of growth in the late 1990s: Is information technology the story? Journal of Economic Perspectives, 14(4), 3–22.

    Article  Google Scholar 

  5. Jorgenson, D. W., & Stiroh, K. J. (2000). Raising the speed limit: US economic growth in the information age. Brookings Papers on Economic Activity, 1, 125–235.

    Article  Google Scholar 

  6. Jorgenson, D. W., & Stiroh, K. J. (1999). Information technology and growth. American Economic Review, 89(2), 109–115.

    Article  Google Scholar 

  7. Norris, P. (2001). Digital divide: Civic engagement, information poverty, and the internet worldwide. New York: Cambridge University Press.

    Book  Google Scholar 

  8. Bertot, J. C., Jaeger, P. T., & Grimes, J. M. (2010). Using ICTs to create a culture of transparency: E-government and social media as openness and anti-corruption tools for societies. Government Information Quarterly, 27, 264–271.

    Article  Google Scholar 

  9. Tolbert, C. J., & Mcneal, R. S. (2003). Unravelling the effects of the internet on political participation? Political Research Quarterly, 56(2), 175–185.

    Article  Google Scholar 

  10. Quintelier, E., & Vissers, S. (2008). The effect of internet use on political participation an analysis of survey results for 16-year-olds in Belgium. Social Science Computer Review, 26(4), 411–427.

    Article  Google Scholar 

  11. Caumont, A. (2013). 12 trends shaping digital news. Pew Research Center.

    Google Scholar 

  12. Baye, M., Morgan, J., Scholten, P. (2002). Persistent price dispersion in online markets. Working Paper. Indiana University.

    Google Scholar 

  13. Brynjolfsson, E., & Smith, M. (2000). Frictionless commerce? A comparison of internet and conventional retailers. Management Science, 46(4), 563–585.

    Article  Google Scholar 

  14. Zettelmeyer, F., Scott Morton, F., & Silva-Risso, J. (2001). Cowboys or cowards: Why are internet car prices lower? Berkeley: Mimeo, UC Berkeley Yale University UCLA.

    Book  Google Scholar 

  15. Kuhn, P., & Mansour, H. (2014). Is internet job search still ineffective? The Economic Journal, 124(581), 1213–1233.

    Article  Google Scholar 

  16. Dettling, L.J. (2013). Broadband in the labour market: The impact of residential high speed internet on married women’s labour force participation. Federal Reserve Board Discussion Paper 2013-065.

    Google Scholar 

  17. Atasoy, H. (2013). The effects of broadband internet expansion on labour market outcomes. Industrial & Labuor Relations Review, 66(2), 315–345.

    Article  Google Scholar 

  18. Stevenson, B. (2009). The internet and job search. In D. H. Autor (Ed.), Studies of labour market intermediation (pp. 67–86). Chicago: University of Chicago Press.

    Chapter  Google Scholar 

  19. Ono, H. (2005). Digital inequality in East Asia: Evidence from Japan, South Korea and Singapore. Asian Economic Papers, 4(3), 116–139.

    Article  Google Scholar 

  20. Grazzi, M., & Vergara, S. (2014). Internet in Latin America: Who uses it? … and for what? Economics of Innovation and New Technology, 23(2), 327–352.

    Article  Google Scholar 

  21. Atkinson, A., Lee, R., & Smeeding, T. (1995). Income distribution in OECD countries. Evidence from the Luxembourg income study, Social Policy Studies, N. 18. Paris: OECD.

    Google Scholar 

  22. Grazzi, M., & Vergara, S. (2011). Determinants of ICT access. In M. Balboni, S. Rovira, & S. Vergara (Eds.), ICT in Latin America: A microdata analysis. Santiago: ECLAC and IDRC.

    Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to Matteo Grazzi .

Editor information

Editors and Affiliations

Appendices

Appendix 12.1. Internet and Scholarship Attainment: Basic Statistics of Independent Variables (Estimation Sample; Obs. = 78,623)

Variables

Mean

Stand. error

95% Conf. interval

Household income

12.0852

0.0036

12.0712

12.1113

Household education

9.9818

0.0051

9.9801

9.9910

Family size

5.0490

0.0074

5.0351

5.0642

Rural

0.3822

0.0020

0.4809

0.4894

Head

0.2213

0.0017

0.2178

0.2249

Female

0.4851

0.0021

0.4809

04894

Internet 1

0.3857

0.0034

0.3702

0.3798

Internet 2

0.1071

0.0005

0.1060

0.1081

  1. Source: Author’s elaboration based on Chilean National Household Surveys 2006 and 2009

Appendix 12.2. Internet and Scholarship Attainment: Correlation Matrix of Estimation Independent Variables

Variables

Household

Household education

Family size

Rural

Head

Female

Internet 1

Internet 2

Household income

1

       

Household education

0.399*

1

      

Family size

−0.138*

0.009*

1

     

Rural

−0.186*

−0.274*

−0.003

1

    

Head

−0.103*

−0.011*

−0.042*

−0.090*

1

   

Female

−0.006

0.000

0.002

0.003

0.003

1

  

Internet 1

0.159*

0.137*

−0.037*

−0.172*

−0.004

0.001

1

 

Internet 2

0.179*

0.115*

−0.266*

−0.159*

0.041*

−0.000

0.896*

1

  1. Source: Author’s elaboration based on Chilean National Household Surveys 2006 and 2009. *Significant at 5%

Rights and permissions

Reprints and permissions

Copyright information

© 2017 Springer International Publishing AG

About this chapter

Cite this chapter

Grazzi, M., Vergara, S. (2017). Internet Use and Public Programs Participation: Evidence from Chile. In: Kaur, H., Lechman, E., Marszk, A. (eds) Catalyzing Development through ICT Adoption. Springer, Cham. https://doi.org/10.1007/978-3-319-56523-1_12

Download citation

Publish with us

Policies and ethics