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2) The income gaps between incomes in urban vs. rural sectorswould increase by 20% in BAU, and the rural/urban gap woulddecline by 14% under the MB scenario,3) Using a quantification tool, called the “Gini Coefficient,” 59Thailand would shifts towards a more (or less) equitable societywhich could be predicted precisely using a continuum of 0.0 – 1.0.(According to the Gini coefficient, 0.0 represents a score for aperfectly equal society, while 1.0 would indicate an absolutelyunequal society.) Using the Gini formula: Business-as-Usual (BAU) broadband would accelerateinequities in Thailand, causing the country’s current score(0.42) to worsen. BAU would cause Thailand to fall anadditional 10% behind peer nations in Gini rankings. 60Meaningful Broadbandwould help Thailandand perhaps othermiddle-incomedeveloping countriesovercome what WorldBank economists call the“skills mismatch” andthe “middle incometrap.” Meaningful Broadband (MB), on the other hand, would beginto correct the economic imbalance, bringing the country to afar more equitable 0.35 in Gini rankings. This ranking wouldput Thailand’s economy on par with the 2009 Gini ranking forSouth Korea, whose economy has become more equitable inrecent years as its broadband penetration has spread to itsmajority population. 61Conceivably, Meaningful Broadband could help Thailand andperhaps other middle-income developing countries overcomewhat World Bank economists call the “skills mismatch” and the“middle income trap.“ 62Based on the analysis of the EconomicsUnit of Southeast Asian division of the World Bank, several59 See Appendix 3 for a full explanation of the Gini concept and approach to quantification.60 See Appendix 3 for the most recent Gini data 2009 shows Thailand to less equal than peer nations. Source: CIA WorldFact book 2009, Gini Index 2009 Country Ranks.61 CIA World Fact book 2009, Gini index 2009 Country Ranks.62 “Skills Inadequacy and Thailand’s Competitiveness,” by Robert Zeufack, World Bank-Thailand, 2006, Seminar on RegionalCompetitiveness.Meaningful Broadband Report 2.0 BROADBAND THAILAND 2015 44
“middle-income developing countries” are unable to rise to theranks of “developed” societies, mostly because their skills aremismatched to the requirements of high paying jobs.By transmitting those skills, the MB model would add significantlyto development theory to show how middle-income developingcountries (i.e., those earning between $976 and $11,900 percapital per year 63 ) could enter the ranks of advanced nations astheir economies become optimally transformed throughbroadband.AnalysisIn this section we present perspectives from economistsregarding the impact of broadband on equality and inequality. Indoing so, we hope to suggest how broadband penetrationbecome part of a long-standing macroeconomic debate.The Kuznet’s Curve: Broadband’s economic impact on middleincomedeveloping countries opens a long-standing debateamong development theorists regarding the “Kuznets Curve.” 64This economic theory argues that inequality grows as a countrydevelops, but begins to decline after it reaches a certain point.“So far, Thailand’s economic growth defies Kuznets,” says ProfKitti Limsakul, Director of the Chulalongkorn University Center onLabor Forecasting, and a former vice minister of Thailand’sMinister of Finance. “It remains to be seen,” he says, “if Thailandcan shape broadband penetration so that inequality could declinerather than rise as high-speed internet penetrates the nation.” 6563 www.worldbank.org64 http://en.wikipedia.org/wiki/Kuznets_curve65 Based on personal interview with Prof Kitti Limskul, Chulalongkorn University Faculty of Economics, February 4, 2010.Meaningful Broadband Report 2.0 BROADBAND THAILAND 2015 45
Page 1 and 2: Meaningful Broadband Working GroupC
Page 3 and 4: Meaningful Broadband Working GroupC
Page 8 and 9: 6. PRODUCTIVITY ...................
Page 10 and 11: Thailand’s Stimulus II, “Strong
Page 12 and 13: principles that define the zeitgeis
Page 14 and 15: ate will rise to 17% of Thai househ
Page 16 and 17: majority) population, rather than t
Page 18 and 19: goals of the ministry of Science an
Page 20 and 21: METHODOLOGYSince the rise of the di
Page 22 and 23: Access Communication Public Company
Page 24 and 25: INTRODUCTIONIn a Bali Hotel in 2008
Page 26 and 27: First Thailand, Then the WorldThe C
Page 28 and 29: A “Wealth Effect”Behind the Mea
Page 30 and 31: Why Broadband is Crucial?Broadband
Page 32 and 33: Anthropologists are on full alert.
Page 34 and 35: NINE BROADBAND IMPACTSThis section
Page 36 and 37: If Thailand’s government and its
Page 38 and 39: 2. GDP GROWTHSummaryBy drawing upon
Page 40 and 41: The impact would be to grow the pur
Page 42 and 43: 3. INEQUALITYSummaryAlready one of
Page 46 and 47: Why Broadband May Defy the Kuznets
Page 48 and 49: In MB, the long-sought goals of tra
Page 50 and 51: 5. MICROFINANCESummaryMeaningful Br
Page 52 and 53: Enhance interaction between farm co
Page 54 and 55: peer nations. 85 Recognizing this f
Page 56 and 57: For a full review on Measuring Econ
Page 58 and 59: Kingdom)—suggesting that the comp
Page 60 and 61: Assuming investors become convinced
Page 62 and 63: Thailand would emphasize its role a
Page 64 and 65: University, Chiang Mai University,
Page 66 and 67: egarding the 128 billion baht effor
Page 68 and 69: Finally, the question of whether a
Page 70 and 71: the government plans for such conce
Page 72 and 73: Consumer Broadband Connection Growt
Page 74 and 75: Appendix 2Data sources and charts t
Page 76 and 77: Thailand 5.2 4.9 2.2 -2.0 -3.2 3.0
Page 78 and 79: The World Bank, “Information and
Page 80 and 81: • Per capita GDP in 1980 (GDP80)5
Page 82 and 83: In 2006, 3.4 percent of the populat
Page 84 and 85: Relation between the Country ICT Pe
Page 86 and 87: APPENDIX 3The following chart indic
Page 88 and 89: Thailand Economic MonitorThe World
Page 90 and 91: MLD is one of these generalized ine
Page 92 and 93: APPENDIX 4Labor Force Survey 2009Ba
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APPENDIX 5Global Microscope on the
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APPENDIX 6Malmquist Index 130The Ma
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The chart below links uncertain gov
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The chart below shows that, despite
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The Global Competitiveness Report 2
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APPENDIX 8R&D Expenditure and Gross
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Meaningful Broadband Report 2.0 BRO
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APPENDIX 9For an overview of best p
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Europe: Broadband Stimulus Snapshot
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Thailand’s Stimulus II, “Strong
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Peer to peer learning.Use of blogs,
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Economic Multiplier Impacts:This re
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Informal Economy:This refers to the
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M Factor:This refers to how “mean
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equired to follow restrictions agai
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MEANINGFUL BROADBAND WORKINGGROUP I
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Can’t markets, left to themselves
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How is the Office of the Prime Mini
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