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Cable companies bundle their channels in part because it helps reduce transaction costs. Instead of having to figure out how much each channel is worth to you can make a blanket judgement. Also, although most consumers only watch a fraction of the channels they get they feel like they are getting a deal because they feel like getting a bunch of things for one price is a deal even it is not.

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Q: Why do cable companies bundle their channels?
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Cable companies deliberately bundle channels together so that you have to pay full price to get what you want. There usually isn't a way to overcome this and they won't work with you.


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