Postal Service As A Monopoly

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from investing(United States, Intro.). Even with this added revenue the Postal Service was still greatly under funded on its own (United States, Intro.). During this time it was discussed to privatize the postal service and introduce competition because of the extreme losses that the service was experiencing. A positive argument for privatizing the Postal Service was with numerous competitors in the market there would be more efficiency and the public would receive lower prices. But this would also increase the usage of resources, for example airplanes and cars.
One of the problems the Post Office had was its receipts from consumer purchases that were submitted the next day after the transaction (United States, i). If the receipts were submitted earlier the postal service would receive more money because they could invest that money sooner (United States, i). Another way the Postal Service could increased profits was by competitively selecting banks that would give them ...

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problem was that other mail routes based pay on how many miles the route covered, so the carriers were getting paid by the mile (United States 2, iii). With this problem fixed the Postal Service could saved 26.8 million a year (United States 2, iii). There was also an hourly rate that was in effect which indirectly promoted inefficient service (United States 2, iii). A stop to this could have saved mentioned above, it can be seen why the United States Postal Service was losing so much money.
These problems did indeed eventually did get solved over the past fifteen years and now the Postal Service is making record breaking profits. Now in the first quarter of the fiscal year 1999 ...

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