What would be the impact on individual users, businesses, and government if Internet providers switched to a tiered service model?

The adaptation of tiered service model would have a greater impact on individual and businesses. The use of internet for leisure purposes would dramatically decrease due to high cost. Individuals would use internet only when they really need it. Now a days businesses have based their computing on cloud resources. They would have to look for another method of computing infrastructure instead of cloud computing infrastructure.

US internet service is already behind many other developed nations with respect to internet speed, cost and quality of service.  Switching to tiered service model would mean another blow to the already behind US internet service from the point of view of individual users.

References:

http://www.nytimes.com/2014/10/31/upshot/why-the-us-has-fallen-behind-in-internet-speed-and-affordability.html?_r=0