Friday, October 3, 2014

Reader Response (Draft 4) "World Wakes Up to Digital Divide"

Wakefield (2010) reports that, countries around the world have started to take action in response to the digital divide. Research by International Telecommunications Union ( ITU) indicates that there is a greater difference between the most and least connected countries. In order to tackle the problem, Eastern European countries like Hungary have implemented a ‘Wi-Fi village’ program by providing Internet access as well as cheap recycled PCs to rural villagers. However, report author Sasha Meinrath argues that authorities should consider the ability of the citizens in utilizing network resources instead of just ‘making kit and access available’.

In my opinion, I do agree with Meinrath that citizen’s ability is important to maximize the benefits of broadband connectivity. However, countries should also consider their ability and the feasibility of technological investments before implementing policies in response to digital divide. These considerations are essential to prevent them from investing blindly just to narrow the so call “digital divide”.

Firstly, we know that in order to establish widespread internet connections, vast investments must come from either the country or certain corporations to cover the expenditures in terms of infrastructure. Hence, one should not disregard the significance of the country’s income level while considering the substantial needs for technology.  In the news article, ITU analyst Vanessa Gray points out that there is a correlation between a country's scale of digital divide and its economic status, but she seemed to underestimate the implication of the economic factor by stating that ‘being able to compare gives them the incentive to do better’. According to the data of The World Bank, Iceland is rated as the high income country with a gross national income per capita (GNI) of $12,746 or more, while Myanmar only possesses a GNI of $1,045 or less. The massive income disparity between both countries has a distinct effect on their ability to provide nationwide internet access. Therefore, when national interests are unable to fulfill the demand for connectivity, corporations take over the responsibility by providing sales of service for the communities. Nevertheless, this would also marginalize the low income families as people have to pay substantially more to get connected.

Furthermore, even though a country did have the ability to establish nationwide internet access, it is unfeasible to invest heavily in technology while neglecting other phases of development. For example, Wakefield mentions that Hungary has invested a substantial amount on the development of high speed fibre-optics cable, at the same time providing training for rural villagers. However, the Education at a Glance 2014 report by Organization for Economic Co-operation and Development (OECD) reveals that Hungary has serious weaknesses in education equity, challenging the government to retain and support their students in finishing their tertiary education. On the other hand, Hungary’s total expenditure on education institutions as a percentage of Gross Domestic Product(GDP) is only 4.4%, implying “the steepest decrease among all OECD countries” in year 2011. (OECD, 2014). The report also mentions that the level of education attainment has an evident effect on the unemployment rate of the people in Hungary. According to Okun’s Law, a decrease in the rate of employment will eventually cause a decrease in a country’s GDP. Therefore, the negligence of Hungary in the education sector should not be ignored as it may affect the country’s economy in long term basis.

As a conclusion, the policy makers play an important role in deciding the country’s direction of development and the future of the people. Hence, they should always consider realistic measures in terms of financial constraints and practicability instead of merely following the global trend.  


References

Organization for Economic Co-operation and Development. (2014). Education at a glance 2014- country note. Retrieved September 19, 2014, from http://www.oecd.org/edu/Hungary-EAG2014-Country-Note.pdf

The World Bank. (n.d.). Country and lending groups. Retrieved September 19, 2014, from http://data.worldbank.org/about/country-and-lending-groups

Wakefield, J. (2010). World wakes up to digital divide. Retrieved September 7, 2014, from http://news.bbc.co.uk/2/hi/technology/8568681.stm


What Is the relationship between GDP and unemployment rates? (n.d.). Retrieved September 19, 2014, from http://www.wisegeek.com/what-is-the-relationship-between-gdp-and-unemployment-rates.htm

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