Abstract
Recently the FCC has considered reimposing must‐carry rules, which would compel cable systems to carry local broadcast television stations. Proponents contend that the rules would help constrain cable systems’ market power. We examine empirically whether cable systems’ carriage choices reflect the exercise of market power. Despite the absence of must‐carry regulations, the data suggest that most cable systems voluntarily carry most local broadcast stations. Noncarried local broadcast signals were either those of relatively remote (and duplicated) network stations, or poorly rated local independent stations. These results question the desirability of adopting new must‐carry regulations.
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