Angel Chavez Penate

This study investigates the labor market impacts of the Affordable Connectivity Program (ACP), the largest US initiative to date aimed at reducing income-based disparities in Internet access. We assess ACP’s effects on labor force participation and employment and test the hypothesis that a key impact mechanism is the expansion of remote work opportunities for program recipients. Using large-scale national datasets, we also explore heterogeneity in program effects by gender, occupation, and connection type (fixed vs. mobile).

The Federal Communications Commission's Affordable Connectivity Program (ACP) is a means-tested federal program launched in January 2022 to support broadband connectivity among low-income households in the wake of the COVID-19 pandemic. The expiration of the ACP benefit, the largest ever consumer support program for telecommunication services in U.S. history, invites a discussion about the impact of the program and what alternative policy mechanisms exist to promote equitable access to broadband.