tel Archives — LIRNEasia


The right analogy is key to a decision to subsidize. When the main thing USPS does is distribute coupons, what rationale is there for subsidy? The Internet can’t be used to tele-transport packages, of course, and our use of package delivery services, including the Postal Service’s, has grown with e-commerce. But the Postal Service is running large deficits, bumping up against the $15 billion limit it is permitted to borrow, and is on the brink of default unless Congress comes to the rescue. Is this where the Postal Service wants to make its stand, as a package delivery service, one among several providers?