The National Cable & Telecommunications Association (NCTA) and the Walt Disney Company have released studies that claim significant flaws in the FCC’s new report on a la carte pricing for cable television.
The studies, commissioned separately by the NCTA and Disney, found that the assumptions, analysis and conclusions in the FCC’s Further Report are “incorrect, unsubstantiated and severely at odds” with the comprehensive analysis in the first FCC study which reached conclusions similar to those of other government, independent and industry reports.
Economists Steve Wildman of Michigan State University and Jeffrey Eisenach of economic and regulatory consulting firm CapAnalysis Group, said the FCC report ignores nine out of 10 studies submitted by independent economists that conclude an a la carte mandate would harm consumers, and the costs would outweigh any benefits.
To read more information about the FCC's Further Report, visit http://broadcastengineering.com/newsletters/rfupdate/20060222/Further-Report-a-la-carte-20060222/index.html.
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