So paying 99c an episode that you keep for 2 weeks, (and if you really want to watch it again, will cost you another 99c) is better than charging a one time fee of 1.99?
If people are going to watch it only once, wouldn't they DVR the first time it's on, and I don't know, save it from being deleted? Also, hulu is a free service that people can watch anytime, yeah, you have to sit through commercials, but they only last 15 seconds (from what i remember) and happen every 15 min.