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Politics : View from the Center and Left

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To: wonk who wrote (155368)1/30/2011 10:40:42 AM
From: Steve Lokness  Read Replies (1) of 542674
 
The Post office also has a revenue problem.

I like the post office, but how can they have a revenue problem when they are a monopoly - or near monopoly? Can the Post Office cut cost? Well sure, why not do a 5 day mail delivery for instance?

Politics imposes the universal service obligation. Politics imposes the 6 day a week delivery schedule which increases fixed costs.

In a moment of brilliance you have identified the argument that many make that the problem is not about revenue - but cost. That the cost are wrong because of politics - doesn't mean that we shouldn't try to fix the cost side of the equation. Delivery on Saturday is not a big thing - but three political wars and the war machine cost that Eisenhower warned us about is.
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