The included and the marginalized from telecommunications in Mexico. A household approach

Abstract

Objective: To identify the evolution of telecommunication services penetration within Mexican households, from 2004 to 2020, and to pinpoint the determining factors leading to the inclusion or marginalization from these services; with the purpose of promoting the integration to the market, through telecommunication services, of millions of households. Methodology: Generation of new statistics and employment of logistic econometric models. Results: The size of the locality in which the household is situated, as well as its income, constitute the most relevant variables regarding its probability of access to telecommunication services. Constraints: The poverty level analysis is shortened, due to the establishment of the official multidimensional methodology for measuring poverty from 2009 onward. Originality: This research contributes with novel statistics and analysis, allowing for a better design of public policies. Conclusions: Households located in the rural sector, in the south-southeast of the country, and/or poor, lag far behind and are less likely to receive telecommunication services, primarily internet. To some extent, this problem stems from a market failure, due to a narrow offer in rural localities  -especially in Guerrero, Oaxaca, Chiapas and Veracruz– or the existence of non-competitive prices. This situation limits the breakup of vicious cycles of poverty and marginalization.