Dial-up 'subsidy': temporarily permanent. (Policy).(a discussion of the need for the permanent subsidy for Internet-service providers)

Multichannel News, January, 2003 by Hearn, Ted

In Washington, nothing is more permanent than a temporary subsidy. Twenty years ago, the federal government insulated information-service providers from a cash-draining regulation called access charges, a move that in time spawned the creation of 7,000 Internet-service providers. At the time of adoption, the Federal Communications Commission said the regulation would be a temporary measure and would be phased out and eliminated.

In 1997, the FCC made the ISP access-charge exemption permanent. In the eyes of some regulators, the proliferation of ISPs stands as one of the FCC's grandest achievements, a demonstration that bureaucratic forbearance can bear marketplace fruit. But does America really need 7,000 ISPs, the vast majority of which...

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