In a CDMA system, the capacity is variable and mainly depends on multiple access interference. The multiple access interference has a deep relationship with transmitted or received power The capacity of CDMA2000 1x system is considered to be limited by the forward link capacity Different rate data traffic requires different transmitted power and rate controlling enables the system utilize radio resource more efficiently. A very simple rate control algorithm for data calls in CDMA2000 1x system is proposed. In the proposed algorithm, by monitoring the total transmit power, we can simply adjust data rate to channel conditions and efficiently use radio resources. The proposed algorithm is easy to implement in power controlled CDMA systems.