a la carte pricing would cause higher rates

This article in the NY Times is a good read about cable pricing. Why would rates increase?

1. Because ESPN charges $3 per subscriber that Bright House has. But maybe only 25% would subscribe a la carte, so the rate would be $12. ESPN would want to make the same amount of money. Something like BET or Hallmark might have to charge 12 times its rate.
2. Advertisers would have a smaller audience so ad rates would decrease. Subscriber rates might increase to balance that.
3. Channels would need to start marketing their channels to get more subs. (Think about the marketing budget of Showtime or HBO).