Rural Internet access cooperative : Rural broadband Internet's effect on small town economies

The Government's commitment to providing high-speed Internet connections to rural America through the Federal Broadband Stimulus program, may have a positive economic effect for customers accessing newly born services. However, the effect on rural businesses may not be so positive.

It is not an unfamiliar fact that customers of rural businesses usually pay more for the same products and services that mainstream Americans do. The reasons are numerous, and in many cases justified. Smaller customer bases and higher costs to receive goods or deliver services are a big contributor to higher costs for rural consumers...