Addressing Inequality Exposed by COVID-19 | Solutions & Insights

The recent coronavirus pandemic has significantly sped up the adoption of numerous digital technologies. With the necessity to temporarily close facilities, the majority of K-12 schools and universities transitioned to virtual learning environments, where educators conduct lessons remotely and students submit work electronically.
The World Economic Forum estimates that approximately 1.2 billion students globally experienced disruptions to their education this year due to the pandemic. Within the United States, more than 55 million K-12 students were without in-person learning opportunities.
Telemedicine and video conferencing have also become central methods for healthcare consultations as a consequence of the coronavirus outbreak. For instance, a Forrester analysis anticipates “general medical care visits to exceed 200 million this year, a substantial increase from the initial projection of 36 million visits for all of 2020.” These virtual connections enable patients to receive guidance from any location and benefit from a wide spectrum of medical knowledge.
The realm of e-commerce is experiencing rapid growth as consumers move away from traditional brick-and-mortar stores. An industry report revealed that “total online spending in May 2020 reached $82.5 billion, a 77% increase compared to May 2019,” and these figures are likely to continue rising as people recognize the convenience of online ordering and home delivery.
However, the pandemic has also highlighted significant disparities in access to and utilization of technology. Not all individuals possess the high-speed broadband connectivity needed for online education, telemedicine, and online shopping. The Federal Communications Commission estimates that $40 billion would be required to bridge the majority of this broadband gap. Furthermore, many individuals lack the necessary devices, such as laptops, tablets, or smartphones, to stream videos and utilize these new service delivery methods.
The issue extends beyond simply being disconnected; digital access is not evenly distributed across different demographics. An Education Week survey indicated that 64% of American teachers and administrators in schools with a high proportion of low-income students reported their students facing technology limitations, compared to only 21% in schools with fewer low-income students. The challenge isn’t solely about broadband availability, but also about access to the equipment needed to effectively utilize online resources.
Significant racial disparities also exist. A McKinsey analysis showed that 40% of African-American students and 30% of Hispanic students in U.S. K-12 schools did not receive any online instruction during COVID-related school closures, compared to 10% of white students. These gaps in access to online education and digital services exacerbate existing educational inequalities, pushing them to unprecedented levels. Prolonged disparities could create substantial barriers to advancement and lead to long-term economic hardship for disadvantaged students, potentially reaching a point of no return.
These inequities represent unacceptable injustices that create deeply entrenched problems with serious social and economic repercussions. The disparities mentioned above contribute to increased income inequality, widen the opportunity gap between social groups, and limit those left behind to low-wage jobs, temporary positions without benefits, or unemployment. Lack of access to the digital world restricts opportunities for online education, telemedicine, and e-commerce, and hinders the ability to apply for jobs, request government assistance, or access essential health and educational materials.
Currently, investment in digital infrastructure and improvements in digital access are needed to eliminate unfair disparities based on race, income, and location. For example, the Federal Communications Commission should expand its “Lifeline” program, which promotes phone connectivity for low-income individuals, to include internet service. Given the common integration of phone and internet services, providing subsidies for both is logical. The availability of Voice over Internet Protocol (VoIP) makes it easy for underserved populations to combine phone and internet connectivity.
The FCC should also broaden its “Schools and Libraries” program, known as “E-rate,” to encompass home schooling and remote learning. With many educational institutions closed and delivering instruction online, the commission should utilize unspent program funds to address the “homework gap” created by the COVID-19 pandemic, helping disadvantaged students access online resources and video conferencing tools.
The Department of Agriculture’s Rural Utilities Service aims to improve broadband service in rural areas, but current funding restrictions prevent its use for upgrading low-speed broadband. Given that many individuals lack sufficient speed for online education, telemedicine, or video streaming, this limitation is counterproductive and should be revised to allow rural residents to enhance their internet service.
In the educational sector, states and local governments must ensure that racial and income-based disparities in access to online learning do not become a permanent fixture of the K-12 system. Addressing this issue requires more than simply providing free laptops to students in need. It necessitates ensuring families can afford broadband access to utilize the laptops effectively, providing teachers with adequate training in distance learning, and equipping students with the skills required for success in the 21st-century economy.
Looking ahead, broadband access will be as crucial for social and economic progress as highways, bridges, and dams were in the past. Similar to the 20th century, improving access requires national planning and investments from both the public and private sectors. Indeed, digital access should be regarded as a fundamental human right, comparable to access to universal healthcare. Individuals cannot fully participate in the digital economy and online learning systems without high-speed broadband.
As highlighted in a recent publication on artificial intelligence, the United States needs a national plan to fund digital infrastructure, reduce racial and geographic disparities, facilitate universal medical insurance, and prepare workers for the digital economy. Key priorities include closing the digital divide, expanding anti-bias regulations for the digital economy, fostering an inclusive economy through fairer tax policies, and training the next generation of workers.
New taxes on digital services or financial transactions could help fund the necessary programs to address these challenges. A century ago, the United States adopted an income tax to finance essential services during industrialization, and as we transition to a digital economy, new forms of taxation will be needed to cover necessary expenditures. We cannot allow existing inequities in access to education and healthcare to deny opportunities to African-Americans, Hispanics, immigrants, and low-income individuals. Excluding these individuals as the digital economy grows is not a sustainable path to achieving our nation’s full potential by empowering all Americans.
Data is essential for many emerging technologies, making unbiased information crucial for developing new services, evaluating digital innovation, and addressing the consequences of existing products. Much of the current digital data is proprietary, limiting researchers’ ability to improve innovation, close the digital divide, and develop solutions to equity problems. The federal government possesses a wealth of data that should be made available for commercial and research purposes in an anonymized format to protect privacy. Similar to how census data supports research, economic development, and program evaluation, broader access to digital data could stimulate new products and services while also addressing equity concerns.
In a nation still grappling with the coronavirus, it is vital to reduce the inequities that deny opportunities to large segments of the American population and prevent them from benefiting from the digital revolution. As we look towards a post-COVID world, it is essential to build an inclusive economy that allows everyone to participate in and benefit from the online world.
The significant changes brought about by COVID-19 are unlikely to diminish even after a vaccine is developed and the effects of the coronavirus subside. Nearly all of the technological trends accelerated by COVID-19 this year will remain integral to our future landscape. Advances in computer storage, processing power, 5G networks, and data analytics will almost certainly accelerate technological innovation in the years to come.
Having a substantial portion of our population excluded from the digital environment is a recipe for continued racial injustice, social conflict, economic hardship, and political division. It will perpetuate cynicism, discontent, and anger within American society for decades. The past four years have exposed the profound inequities in American society, exacerbated not only by intentional political polarization but also by a digital divide that threatens to solidify many detrimental aspects of inequality in America.
This is not a technological problem; it is a leadership challenge. Effective leadership can resolve this national crisis by demonstrating a commitment to utilizing technology for the benefit of all Americans. The next administration has the capacity to address these issues directly and eliminate this divide, or, conversely, to condemn our most vulnerable citizens to four more years of neglect and inequity.
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