The Deregulation of the Cable Industry In 1984

" Although transmission line TV was primarily limited in this way, it soon proved to be in high demand among American consumers. Thus, "by 1955, there were cd phone line systems serving approximately 150,000 subscribers."

The technology usanced in early line of business systems was very simple by today's standards. An advance was used to pick up the broadcast signals. Coaxial cable was used to run these signals through an amplifier, and "the amplified signals were then delivered to subscriber homes by more cable." With improvements in technology, the role of cable boob tube changed. For example, the use of satellites has enabled cable companies to provide a broader variety of channels and programs. Because of this factor, cable TV stopped being focused on hardly providing broadcast programming to hard-to-r apiece argonas. Instead, it became an alternative to regular broadcast television set for all people, regardless of their location. During the 1970's and 1980's, the cable industry grew at a rapid pace. More channels, as well as a wider variety of programs, were made available to consumers. The popularity of the cable market grew with each new technological innovation. Many of these innovations were intentional to improve the superior of cable transmissions. For example, digital technology and fiber optics provide collapse images than earlier cable systems were capable of. Some innovations are designed for potential new applications in ever

Despite these growth trends in cable TV, there imbibe also been a number of problems with the industry. For example, many consumers have complained slightly the practices of the companies which provide them with cable service. Cable TV's main asset is its expertness to provide a wide variety of unique programming. a couple of(prenominal) consumers have complained about this aspect of the industry. Rather, the complaints generally center well-nigh the reduced prime(prenominal) of service and the change magnitude prices which are associated with cable TV monopolies in local areas. As reported in the Economist: "The problem... is not with the kaleidoscope of networks. It lies with the cable-operating firms that supply the images.

Though there are more than 9,600 of these, each tends to hold a monopolistic get by on the areas it serves."

"Pioneers of Diversity." The Economist 316 (28 July 1990): 23.

In addition to the threat which is constitute to cable monopolies, the cable TV industry has argued against reregulation on the fundament that deregulation has had a positive impact on television consumerism. Thus, those who opposed reregulation have claimed that "cable, as an unregulated industry, has served the public good, diffusion television reception to remote areas and providing unique, high-quality programming." According to the cable industry argument, although basic rate have gone up o'er the years, the quality of programming has also gone up to reflect this increase in prices. Better programming has resulted in increased customer satisfaction. Thus, it is argued that, despite increased rates, "consumers are purchasing even so more cable product - good evidence that they recollect deregulated cable better" According to this perspective, government regulation of rates might hold consumer prices down; however, it would also cause the quality of original cable programming to decline. N. J. Nichols, the president of Time Warner Communications, has agree with the view that deregulation in the cable industr
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