The Spatial Distribution of the Internet in the European Union: Does Geographical Proximity Matter?

This paper examines the spatial distribution of the Internet in the European regions. To achieve this aim, our analysis combines a set of non-parametric techniques proposed in the context of the economic growth literature, with various spatial econometric instruments. The results reveal that regional disparities in Internet adoption are greater than territorial inequalities in gross domestic product (GDP) per capita. In addition, our findings show that the distribution under consideration is characterized by the presence of positive spatial dependence, which implies that physically adjacent regions register a similar degree of Internet adoption. Finally, the analysis carried out allows us to assess the role played by variables such as GDP per capita, unemployment rate, stock of human capital and population density, in explaining the spatial distribution of the Internet in the European Union.