The federal government is dropping controls on cable TV rates tomorrow. The prospect is that cable rates won't soar.

• Four of the six largest cable systems plan only small price hikes this year -- with none being more than 5 percent.

• Some consumers will even see their rates fall -- partly due to the increased competition cable companies face from direct broadcast satellite systems.

• Experts contend that regulations did not hold down cable rates -- in fact, when the Telecommunications Act of 1996 ordered that price controls end in three years, prices surged 24 percent.

• Observers say that if Congress wants to promote competition and hold down rates, it should stop local governments from awarding monopoly franchises to cable companies.

Source: Editorial, "Half Right About Cable TV," Investor's Business Daily, March 31, 1999.