DOCUMENT RESUME ED 334 046 RC 018 250 TITLE Rural America at the Crossroads: Networking for the Future. INSTITUTION Congress of the U.S., Washington, D.C. Office of Technology Assessment. REPORT NO OTA-TCT-471 PUB DATE Apr 91 NOTE 200p. AVAILABLE FROM Superintendent of Documents, Government Printing Office, Washington, DC 20402-9325 (Stock No. 052-003-01228-6, $9.50). PUB TYPE Legal/LegislativefRegulatory Materials (090)-- Reports - Research/Technical (143) EDRS PRICE MF01/PC08 Plus Postage. DESCRIPTORS *Communications; *Economic Development; *Federal Regulation; Futures (of Society); Government Role; Information Networks; *Information Technology; Policy Formation; *Rural Areas; *Rural Development Office of Technology Assessment; Technological Infrastructure ABSTRACT This study explores the 1.)le that communications technologies can play in securing rural America's future. It develops several policy strategies and options to encourage economic development. The study was requested by the Joint Economic Committee of Congress and Senators Charles E. Grassley and Orrin G. Hatch. Chapter 1 provides a summary and policy conclusions. Chapter 2, "The Challenge for Rural America," describes unemployment, poverty, and out-migration and advocates upgrading the labor force. Chapter 3, "Rural America and the Changing Communication Infrastructure," proposes Rural Area Networks to deliver communication services to rural areas. Chapter 4, "Rural Development," explains a holistical approach to rural development that accompanies economic development by improving education, health care, and public administration capacities. Chapter 5. "Regulation and Rural Development," recommends that regulators must devs.alop new regulatory approaches for rural areas. Finally, Chapter 6, "The Role of the Federal Government: Orchestrating Cooperation and Change," suggests that the Federal Government make rural development and the use of communications technologies a national priority. The appendix is a field journal that gives narrative impressions of the four states visited during the study: Kentucky, New Mexico, Washington, and Maine. The document contains a list of contributors, a glossary, and an index, as well as numerous figures, charts, tables, and photographs. (KS) *********************************************************************** * Reproductions supplied by EDRS are the best that can be made * * from the original document. * *********************************************************************** P' P U S. DEPARTMENT Dig EDUCATION CKir 0* EducitiOhar Reitararen and Improvement EZUCATIONAL RESOURCES INFORMATION CENTER IERICI 4/nis aocurnent ruts Peen reproducr,e as ece110 from me person or organization ,lirtIihQ 1 M.hOr Changes have peen maae to improve goroouction Quality RohtS at view or Opinions stated in tnis acreu- A-ont do not necessarily represent official ...1E RI position oi PoliCy .1.-":.7::,7. grt-4V'':**141.4.4"3"15,1tri;it, ko _ 414: 3".,,kZn'ar044. ,1 - f (Vv."- k!' ;*.4,"' . .14441A4 -L-N7-,,:'.31;iNci,-;;;,?::it.P.-:Wi.lit § t":, 1. fe't.4PL:. -4"''' .11 ,4. N.: 41..4 `, '541-45 crp! b .L .t t v 4As% . , r . c a it'ef. ky 4,,e C--",' " c`'1.75:.;.. 4 . 4. " .-- .; , 'r '" i- r ,--Ct ""!.. 4.4 41.4 t ,- - c - 4. `s4'..t - -,"'5':,fk:'. VINO OM, a' IN11 1 4\1 1 Office of Technology Assessment Congressional Board of the 102d Congress GEORGE E. BROWN, JR., California, Chairman TED STEVENS, Alaska, Vice Chairman Senate House EDWARD M. KENNEDY MORRIS K. UDALL Massachusetts Arizona ERNEST F. HOLLINGS JOHN D. DINGELL South Carolina Michigan CLAIBORNE PELL CLARENCE E. MILLER Rhode Island Ohio ORRIN G. HAT.,H DON SUNDQUIST Utah Tennessee CHARLES E. GRASSLEY AMO HOUGHTON Iowa New York JOHN H. GIBBONS (Nonvoting) Advisory Council CHASE N. PETERSON, Chairman MICHEL T. HALBOUTY SALLY RIDE President Chairman of the Board & Director, California Space Institute University of Utah Chief Executive Officer University of CaliforniaSan Diego Salt Lake City, Utah Michel T. Halbouty Energy Co. Scripps Institution of Oceanography Houston, Texas La Jolla, California JOSHUA LEDERBERG, Vice Chairman NEIL E. HARL JOSEPH E. ROSS Professor Professor Director Rockefeller University Department of Economics Congressional Research Service New York, New York Iowa State University The Library of Congress AMES,Iowa Washington, D.C. CHARLES A. BOWSHER JAMES C. HUNT JOHN F.M. SIMS Comptroller General of Chancellor Vice President, Marketing the United Slates Health Sciences Center Usibelli Coal Mine, Inc. Washington, D.C. University of Tennessee Fairbanks, Alaska Memphis, Tennessee LEWIS M. BIMSCOMB HENRY KOFFLER MARINA v.N. WHITMAN Director of Science, Technology & President Vice President & Group Executive Public Policy Program University of Arizona Public Affairs Staffs Group Albert Pratt Public Service Professor Tucson, Arizona General Motors Corporation Harvard JFK School of Government Detroit, Michigan Cambridge, Massachusetts Director JOHN H. GIBBONS The Technology Assessment Board approves the release of this report. The views expressed in thisreport are not nerPssarily those of thi Board. OTA Advisory Council. or individual members thereof. RURAL AMERICA AT THE CROSSROADS: NETWORKING FOR THE FUTURE CONGRESS OF THE UNITED STATES OFFICE OF TECHNOLOGY ASSESSMENT 4 For sale by she Superintendent of Doeumeass, U.S. CloosrameatPriming Of Soo Warbiagoon, D.C. 3040S , Recommended Citation: U.S. Congress, Office of lbchnology Assessment, Rural America at the Crossroads: Networldng for the Future, OTA-TCr-471 (Washington, DC: U.S. Government Priming Office, Apzil 1991). For sale by the Supezintendent of Documents U.S. Government Printing Office, Washington, DC 20402-9325 (aide: form can be found in the back of this report) 5 re Foreword Rural America is at the proverbial crossroads. Manyrural couununities ahow signsmat raise concern for their future: loss of economicvitality, a relative decline in income,high unemployment, low workforce participation, andan exodus of talent Advances in communication and information technologies, however,hold promise for rural America, by reducing the barriers of distance andspace that have disadvantaged ruralareas. Rural businesses can now link to other businessesor access major markets, even in other countries, just as readily as those in urbanareas, while still enjoying the many distincuve benefits ofrural living. This study explores the role that communicationtechnologies can play in securing rural AMeTiCals future. It developsseve al policy strategies and options toencourage such development. The study was requested by the JointEconomic Committee of Congress and Senators Charles E. Grassley and Orrin G. Hatch. OTA gratefully acknowledges the contributionof the advisory panel, workshop participants, coatractors, reviewers, andmany others who provided information, advice, ant: assistance. However, OTA bears sole responsibilityfor the contents of thisreport. JOHN R GIBBONS Director 6 Rural America at the Crossroads: Networking for the Future Advisory Panel George Connick, Chairman President, University of Maine at Augusta George Calhoun Everett Rogers Senior Vice President Professor of Communications International Mobile Machines Corp. Annenberg School of Comraunications University of Southern California Lloyd Callihan School Bus Drives and Volunteer Ambulance William Schaphorst Driver and Fireman General Attorney Wapato, WA U.S. West Communications Don Di Liman Gail Schwartz Director Commissioner Social and Economic Sciences Research Center State of New York Public Services Commission Washington State University, Pullman Sharon &rover Wilbur Hawkins Assistant Professor Executive Director Depanxnent of Radio, TV, and Film Lower Mississippi Delta Commission University of lbxas at Austin Ronald Lehr Margaret Trevathan Former Commissioner Former Director Colorado Public Utilities Commission Calloway County Library, Kentucky Karen Menick Luther Tweeten Former Mayor Professor of Economics Guttenberg, Iowa Department o! Agricultural Economics and Rural Sociology Edwin Parker Ohio State University President Parker lblecomwunications Keith N. Ware Manager Joseph Pe lion Emery County iblephone Co. Director Graduate iblecommunications Program EnOneering Center University of Colorado, Boulder NOTE: OTA appreciates and is grateful for the valuable assistance and thoughtlid abiques provided by the advisory panel members. The panel does not, however, necessarily approv..., disapprove, or endorse this report. OTA assumes full responsibilhy for the report and the mu./ of its coatems. iv 7 Rural America at the Crossroads: Networkingfor the Future OTA Project Staff John Andelin,Assistant Director, OTA Science, Information, and Natural Resources Division James W. Cur lin,Telecommunication and Computing Technologies ProgramManager Linda Garcia,Project Director Sheny Emery,Analyst Fr.4 Wood,Senior Associate MarkYoung, Research Analyst Ritchie Chin,Contractor Administrative Staff Liz Emanuel,Office Administrator Karolyn St.Clair, Secretary JoAnne P.,.ce, Secretary Contractors Sanford Berg Heather Hudson Professor Director Public Utilities Research Center lblecommunications Management University of Florida, Gainesville and Polio, Program ltd K. Bradshaw McLaren College of Business Associate Research Sociologist University of San Francisco Institute of Government Affairs Abbe Mowshowitz University of California, Berkeley Consultant George M. Calhoun lbchnology Impact R F..search Inc. Senior Vice President Joseph Pe Iton International Mobile Machines Corp.