yes its does, through a tv tuner (like everyone is giving you) you can only receive ClearQAM stations which are usually only the broadcast stations like CBS/NBC/ABC/FOX (and a few others, depends where you are and who your cable company is)
to get all of the stations on the cable you need something called a CableCARD tuner, now here in lies the problem, the specs were just opened over this last summer so DIY'ers can do this (not just OEM's like dell) so there are not a lot of cards on the market (i believe ati has one that came with those OEM systems, good luck getting one) and are hard to find
now in march 2010 a company called
Ceton is releasing a Quad CableCARD tuner, though it will come out at $400 which is way out of your price range, though before they changed their site they said they would be coming out with a dual, quad, and hex (yeah 6, a lot of tuners in one card) but so far are only saying stuff about the quad tuner, so i would watch and see if they say anything about the dual tuner (which presumably would be <=$200), which by then you could save up the extra hundred (or $300 if you can go for the quad tuner)
now the other thing about these CableCARD tuners is that you have to rent a cable card from the cable company (they are required to do this), its usually about $3/month per card (each CableCARD card whether it is quad/dual/hex needs only one of these) so keep this in mind
EDIT: i am assuming you are in the US, if not disregard this post as i don't know about over seas cable (and their companies)