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What you are about to read should not come as a shock to
you, especially if you are a subscriber of cable TV.
Comcast Corp, the dominant cable provider in the nation,
has raised cable TV rates for the third time in three years
The rates will go up about 6 to 7 percent, depending upon
where you live. Other cable providers, like RCN, have
also raised rates by about 8 percent.
7 percent is double the rate of inflation. Comcast's prices
have risen three times faster than inflation since 2000.
Although cable price increases have moderated in recent
years from the double-digit hikes of the 1990s, many
research analysts predict that costs will keep going up.
"Operational costs" are the culprits for the rate hikes.
"Operational costs" include energy costs, improvements in
customer service and network maintenance. Cable companies
have millions of miles of outdated lines buried below
ground, and are in the process of converting
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