**7 Tables**

Table 2: First Stage

||(1)<br>**D**|(2)<br>**HS**|(3)<br>**W**|(4)<br>**BES**|(5)<br>**L**|(6)<br>**SMS**|
|---|---|---|---|---|---|---|
||**Proximity**|**Submarine**|**Proximity**|**Submarine**|**Proximity**|**Submarine**|
||**to road (Km)**|**internet * road**|**to road (Km)**|**internet * road**|**to road (Km)**|**internet * road**|
|Proxymity to hyp. roads|0.0369***|0.0123|0.154***|-5.86e-13|0.000992***|-0.0000353***|
||(0.00929)|(0.0546)|(0.00371)|(4.20e-13)|(0.0000554)|(0.00000630)|
|Submarine * hyp. roads|0.000693*|0.0580***|0.0319|3.815***|-0.00111***|0.000546***|
||(0.000409)|(0.00524)|(0.0243)|(3.23e-08)|(0.000161)|(0.000107)|
|Lightning|0.109|-0.00853***|0.731***|-0.0691***|-0.190***|-0.0132***|
||(0.398)|(0.000921)|(0.174)|(7.70e-10)|(0.0300)|(0.00321)|
|Terrain elevation|-0.0149*|0.0000475|-0.00242***|-0.0428***|-0.00106***|-0.00000592***|
||(0.00860)|(0.0000686)|(0.000397)|(9.41e-11)|(0.0000262)|(0.000000467)|
|N|780422|780422|5902|15028|1336608|1336608|
|ymean|-9.445|-0.882|-0.441|-0.214|-8.162|-0.068|
|r2|0.275|0.171|0.992|1|0.858|0.720|
|r~~2~~<br>~~a~~|0.275|0.171|0.992|1|0.858|0.720|
|Kleibergen-Paap F-statistic|46.03|46.03|33.83|33.83|60.15|60.15|
|_P > F_|0|0|0.2747|0.2747|2.70e-12|2.70e-12|
|Cragg-Donald Wald F-statistic|792.3|792.3|218.478|218.478|57.57|57.57|
|Windmeijer F-statistic|33.37|33.37|30.43|30.43|36.29|36.29|
|Kleibergen-Paap Wald F-statistic|7.875|7.875|33.831|33.831|18.94|18.94|
|Anderson-Rubin Wald F-statistic|6.673|6.673|41.81|41.81|37.41|37.41|
|Age|✓|✓|✓|✓|✓|✓|
|Gender|✓|✓|✓|✓|✓|✓|
|Place of residence|✓|✓|✓|✓|✓|✓|
|Education|✓|✓|✓|✓|✓|✓|
|Year FE|✓|✓|✓|✓|✓|✓|
|Country FE|✓|✓|✓|✓|✓|✓|
|Grid (20*20) connectivity FE|✓|✓|✓|✓|✓|✓|

_Robust standard errors in parentheses clustered at the grid level. ∗p < ._ 10 _∗∗p < ._ 05 _∗∗∗ p <_ 0 _._ 01 _._ Table 3: The Effect of Internet and Roads on Employment

||(1)|(2)|(3)|(4)|(5)|(6)|
|---|---|---|---|---|---|---|
||**D**|**HS**|**LSMS**||**WBES**||
||**Worked**||**Hours**|**Hours of**<br>**operation**|**Number of**<br>**permanent full**|**Number of**<br>**full time**|
||**during**|**currently**|**Worked**|**per week**|**time employees**|**employee**|
|Variables|**last year**|**working**|**last week**|**in last year**|**3 fscal years ago**|**last year**|
|Submarine internet|0.0833***|0.0568**|-0.386**|0.575**|0.602***|2.166***|
||(0.0236)|(0.0219)|(0.192)|(0.240)|(0.111)|(0.183)|
|Proximity to road (Km)|0.00779***|0.00787***|0.532**|3.782***|1.415***|0.665*|
||(0.000478)|(0.000470)|(0.216)|(0.0602)|(0.403)|(0.352)|
|Submarine internet * road|0.0167**|0.0116*|4.042**|0.0934***|0.0238***|0.143***|
||(0.00522)|(0.00475)|(1.624)|(0.0246)|(0.00597)|(0.0154)|
|N|756335|696417|471182|14526|11294|6633|
|ymean|0.744|0.680|1.30|35.28|12.00|15.235|
|R-sq|0.0343|0.0654|-0.339|0.331|0.158|0.0346|
|R-s~~q~~<br>~~a~~|0.0342|0.0653|-0.339|0.327|0.153|0.0246|
|Kleibergen-Paap F-statistic|79.65|81.52|10.79|1.094|1.178|1.463|
|_P > F_|0|0|0|0|0|0|
|Cragg-Donald Wald F-statistic|848.5|791.4|1050.8|1282.5|1051.4|484.3|
|Windmeijer F-statistic|28.8|25.32|26.58|25.39|38.93|51.5|
|Kleibergen-Paap Wald F-statistic|18.72|19.21|2.658|25.39|51.50|4279.6|
|Age|✓|✓|✓|✓|✓|✓|
|Gender|✓|✓|✓|✗|✗|✗|
|Place of residence|✓|✓|✓|✗|✗|✗|
|Education|✓|✓|✓|✗|✗|✗|
|Year FE|✓|✓|✓|✓|✓|✓|
|Country FE|✓|✓|✓|✓|✓|✓|
|Grid (20*20) connectivity FE|✓|✓|✓|✓|✓|✓|

_Robust standard errors in parentheses clustered at the grid level. ∗p < ._ 10 _∗∗p < ._ 05 _∗∗∗ p <_ 0 _._ 01 _. We use a strategy that combines difference-in-differences and instrumental variables techniques. The causal effect of Internet is estimated using difference-in-differences, while the effects of the road and its interaction with the Internet are estimated using an instrumental variables approach. Our instruments are: the distance to the hypothetical road, the interaction between the distance to the hypothetical road and an indicator for whether an individual (or a firm) is connected to submarine Internet, lightning, and terrain elevation._ 45