Printable version Key Statistics - article, April 2004, p. 9-14
This article looks at internet use in households and shows that a digital divide exists in New Zealand. Factors examined include household income highest qualification, household composition, age of youngest occupant, ethnicity, labour force status of occupants, number of children, and geographic location. Information in this article has been extracted from the report The Digital Divide (Statistics New Zealand, 2004).
Household Access to the Internet1
Information technology, including the use of computers and the Internet, is increasingly commonplace in New Zealand homes and workplaces. New Zealand has one of the highest rates of Internet access in the world. In 2002, it was ranked eighth in the OECD for number of Internet users (per 10,000 population) (International Telecommunication Union, 2003).
International research has suggested that the spread of information technologies such as the Internet is initially limited to households with high incomes and education. This is a result of the costs associated with new technologies, the knowledge of the benefits associated with each and also the skills required to use them. The new technology spreads to lower socioeconomic groups as the technology becomes less expensive and more accessible (Statistics Canada, 2002, 3–17).
This article looks at Internet use in New Zealand households. Information in this article has been extracted from the report The Digital Divide (Statistics New Zealand, 2004).
At the time of the 2001 Census of Population and Dwellings, 37 percent of New Zealand households had access to the Internet, and 96 percent had access to a telephone. This article looks at Internet use in relation to: household income; highest qualification; household composition; age of youngest occupant; ethnicity; labour force status of occupants; number of children; and geographic location.
Total household income
Income is the most important variable in determining the dispersal of new communication technologies such as the Internet. As figure 1 shows, the proportion of dwellings with Internet access generally increases with total household income. Households reporting annual incomes greater than $100,000 were five times more likely to be connected to the Internet than households with incomes under $15,000: 72 percent compared with 14 percent, respectively. However, there was also a relatively large proportion (27 percent) of households with Internet access where the total income was below $5,000, or a loss.

Highest qualification
Multivariate analysis of 2001 Census data showed that highest qualification was the second most important variable determining whether households have access to the Internet. This supports international research, which has shown strong links between household Internet use and education (Statistics Canada, 2002, 6). The proportion of households with Internet access rose with qualification when households were grouped by the highest qualification of the occupants. Households where at least one person aged 15 years and over had a university degree were the most likely to be connected (68 percent), followed by those with a vocational qualification (46 percent) and school qualification (34 percent). Twelve percent of households where no one had a qualification were connected to the Internet.
Household composition
Household composition was the third most important variable determining household access to the Internet. Households consisting of a couple plus children had the highest levels of Internet access (55 percent). One-person households were the least likely to be connected at only 16 percent, as figure 2 illustrates. A possible explanation for this may be the high concentration of older women in this category, the older age groups being less likely to access the Internet.

When the effects of household income or highest qualifications were removed, differences in levels of household Internet access were still apparent but less pronounced. The proportion of connected one-parent plus children households increased from 30 percent to 36 percent when income was standardised. Thus, although household income influences connectivity levels, one-parent households were still less likely to have access to the Internet when differences in income were removed. This suggests that their limited digital uptake was not simply a reflection of lower incomes.
Age of youngest occupant
Over half (52 percent) of households with a youngest member between the ages of five and 19 had Internet access. Households with a youngest occupant in the age group 10–14 years were the most likely to have access to the Internet (56 percent). Use of information and communication technology such as the Internet, is often encouraged in younger people, as it is expected to improve academic performance and technological skills and prepare them for the modern working environment (Willms J D and Corbett B A, 2003, 15).
The level of household Internet access generally declined with the increasing age of the youngest person, although there was a slight rise in access in the 45–49 and 50–54 year age groups (38 and 39 percent, respectively). Households with a youngest member aged 70 years and over were a fifth as likely (7 percent) as those aged 40–44 (35 percent) to be connected to the Internet. The decline of Internet access with age may be attributed to a combination of factors, such as a lack of basic computer skills and a failure to recognise the value of the Internet. As such, the older age groups may face fewer opportunities to interact in an information society (Statistics Canada, 2002,7).
Ethnicity
Ethnicity counts were based on the presence of at least one occupant of that ethnicity in the household. Therefore, households with occupants of several ethnicities will be counted in each of those ethnic groups.
Households containing at least one person of Asian ethnicity at the 2001 Census had the highest level of Internet access, with 58 percent of households connected. In contrast, households with Pacific people were less than half as likely (23 percent) to be connected to the Internet.
When differences in household income between ethnic groups were standardised, the percentages with access remained relatively unchanged. This suggests that the ethnicities of household members had an influence over the presence of an Internet connection, independent of income.
Standardisation by highest qualifications showed that some of the variation between the ethnic groups could be attributed to differences in educational attainment. Households with at least one person of Asian ethnicity were still the most likely to have Internet access (49 percent), followed by Europeans (38 percent), Mäori (30 percent) and Pacific peoples (26 percent).
Figures for the European population remained unchanged when standardised by household income and highest qualification. This is due to the European group being the largest single ethnic group in New Zealand, the distribution therefore resembling that of the whole population.

Labour force status of occupants
The labour force status of a household was counted as full-time if there was at least one person aged 15 years and over in the household who was employed full time (30 or more hours a week). If there were no members of the household in full-time employment but at least one in part-time employment then the dwelling was classified as part-time. If none of the occupants of the dwelling were in employment then the dwelling was classified as not employed.
2001 Census data shows that households with at least one occupant in full-time employment were the most likely to be connected, at 47 percent. In comparison, 34 percent of households with at least one person in part-time employment and 16 percent of households with no one in employment were connected to the Internet, as shown in figure 4.

Number of children
Data from the 2001 Census shows that households containing two children (aged under 15) were the most likely to be connected to the Internet (50 percent), while only one in three households with no children were connected. Households containing one or three children also had a high proportion with Internet access (46 percent), which is shown in figure 5, below. As the number of children in a household increased above two, the proportion of households with access to the Internet progressively declined. This may be a result of the lower socio-economic status generally associated with larger families.

Geographic location
Research has pointed to geographic differences in Internet diffusion, with urban connectivity levels exceeding rural (Statistics Canada, 2002, 6). One of the major problems facing rural dwellers is the level of telecommunications services provided. Households situated some distance from a major urban area may be confronted with slow, unstable Internet connections and limited access, as infrastructure becomes a major problem (Maharey, 2000).
Data from the 2001 Census showed that households in the Auckland and Wellington regions had the highest level of Internet access (44 percent). The next highest level (36 percent) was found in the Canterbury and Nelson regions. The West Coast and Gisborne regions were the least connected, both with 25 percent (see figure 6).

The North Shore City and Wellington City were the most connected territorial authorities (53 percent). These were followed by households in the Auckland City and the Queenstown-Lakes District with 47 and 44 percent, respectively. Wairoa District (18 percent), Opotiki District (20 percent) and the Buller District (22 percent) were the least connected.
Households in the main urban areas of New Zealand had the highest rates of Internet access (40 percent), followed by those situated in rural areas with fewer than 300 people (37 percent). Minor urban areas had the lowest levels of Internet access with just 25 percent of households connected. It appears that with the exception of other rural/inlet, there is a relationship between population size and Internet access, with those living in smaller centres less likely to be connected.
The 2001 Census showed that households in the North Island were more likely to be connected to the Internet (39 percent) than their counterparts in the South Island (34 percent).

Conclusion
Data presented in this article show that a digital divide exists in New Zealand. This article found that although the age of the youngest occupant, ethnicity and labour force status and geographic location played important roles in determining household Internet access, the most important variables identified as influencing household connectivity levels were household income, the level of educational qualification and household composition.
Low household income and lack of formal qualifications appeared to be barriers to the educational, cultural and economic opportunities available from participation in the technological information environment, accessed primarily via the Internet.
Households consisting of a couple plus schoolaged children showed a higher propensity for household connectivity than all other household types. By comparison single-person and oneparent households were under represented and consequently members of these households have greater difficulty, within the household, to participate in the modern, knowledge society. For a full discussion, see the source report The Digital Divide (Statistics New Zealand, 2004).
References
International Telecommunication Union (2003). “Internet indicators: Hosts, users and number of PCs”, http://www.itu.int/ITU-D/ict/statistics/ [4 September 2003].
Maharey S (2000). “Closing the digital divide – What do we know about the digital divide in New Zealand?” http://www.executive.govt.nz/minister/maharey/divide/01-01.htm [12 August 2003].
Statistics Canada (2002). “Unveiling the digital divide”, http://www.statcan.ca/english/research/ [11 August 2003].
Statistics New Zealand (2004). The Digital Divide, http://www.stats.govt.nz/domino/external/pasfull/pasfull.nsf/web/ Reference+Reports+The+Digital+Divide+2004?open [7 April 2004].
Willms J D and Corbett B A (2003). “Tech and teens: Access and use”, Canadian Social Trends, Statistics Canada, Summer 2003, 15–20.
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