Hazlett Essay Rips Broadcasters

Former-Federal Communications Commission Chief Economist Tom Hazlett has written paper arguing that television broadcasting needs to be de-regulated -- mostly so that it can fall of its own weight.

He writes that the broadcast TV system is "a needless expense, propped up not by customer demand, technical efficiency, or business necessity, but legacy regulation generations outdated." He said the opportunity cost of allocating 49 channels to broadcasting is an estimated $1 trillion in social welfare. "[P]rotecting broadcast TV in a world where "broadcast TV" is already an anachronism and video programs are themselves fleeing to new media is not a good way for the government to support the emerging markets of the 21st Century." The paper was sponsored by the American TV Alliance whose members include cable operators, satellite operators, and others seeking reforms to the retransmission system they say benefits broadcasters to the detriment of cable operators and their customers.