> If USPS did not have monopoly, they would be severely undercut in profitable areas
So in essence, residents of "profitable areas" are overpaying for mail to subsidize mail service to those in unprofitable rural areas.
But then the next question is: why go through this roundabout subsidization? Why not just subsidize rural first class mail delivery by the state directly?
This also ignores the fact that the USPS does not have a monopoly on sending packages, and is still able to serve package deliveries to rural areas, aren't they?
Appropriations, tax revenue, and government budgets can be fickle revenue streams. There is a simple elegance to funding themselves, and you have full transparency into every dollar they receive from you.
So in essence, residents of "profitable areas" are overpaying for mail to subsidize mail service to those in unprofitable rural areas.
But then the next question is: why go through this roundabout subsidization? Why not just subsidize rural first class mail delivery by the state directly?
This also ignores the fact that the USPS does not have a monopoly on sending packages, and is still able to serve package deliveries to rural areas, aren't they?