The US Federal Communications Commission approved a change in the price regulation of the seven regional Bell companies and the local phone companies owned by GTE Corp affecting the rules on the maximum they can charge for interconnect services to long-distance carriers and private companies: under the existing rule, there is a cap on the total rate of return the local phone companies can make on such services – service by service – in future they will be capped on the total price they charge, enabling them to raise one price if they lower another, so that if a reduced price leads to much more business, they will get the benefit in profits from the improved efficiency.
