3 ms·
This is correct. One of the reasons that FedEx and UPS have lower costs is that they've been able to turn over many unprofitable "last mile" deliveries to the U
by jeremymims 15y ago
This is correct. One of the reasons that FedEx and UPS have lower costs is that they've been able to turn over many unprofitable "last mile" deliveries to the USPS. In many cases though, this has been mutually beneficial. FedEx and UPS are among the largest USPS customers.
Personally, I have no problem with the US government subsidizing the delivery of the mail to the tune of $5-10 billion per year. The reduction in friction of resulting commerce is easily worth an order of magnitude more. Merely the societal benefit of an utterly reliable and ubiquitous communication system (even if somewhat redundant for certain purposes) has significant value.