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Expanding high-speed internet access as part of the 2021 U.S. infrastructure bill is likely to significantly affect both the supply and demand sides of the
Expanding high-speed internet access as part of the 2021 U.S. infrastructure bill is likely to significantly affect both the supply and demand sides of the economy over time. On the supply side, better internet infrastructure improves productivity by making businesses more efficient and lowering operational costs, which increases the overall output of the economy. On the demand side, the project boosts economic activity by creating jobs in construction and technology, which increases workers' income and spending. This expansion not only raises government spending initially but also encourages more business investments in areas that benefit from better connectivity. Over a 10-year period, the impact on aggregate supply is expected to be greater than on aggregate demand because the technological improvements from enhanced internet access will lead to long-term increases in efficiency and productivity across many sectors. This results in more sustained economic growth than the initial spike in demand caused by increased government spending and consumer spending
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