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Postal Worksharing

Welfare, Technical Efficiency, and Pareto Optimality
  • Robert W. Mitchell
Part of the Topics in Regulatory Economics and Policy Series book series (TREP, volume 31)

Abstract

Competition is generally believed to lead to efficiency, be it economic or technical. One method of introducing competition into postal systems, without affecting the universal service obligation, is through what have been termed “worksharing” discounts.2 The worksharing notion is that a discount should be offered to mailers or competitors3 who do portions of the postal work and then turn the mail over to the postal service for completion of delivery. Note that there is no requirement that the mailer actually perform any particular piece of work, only that the mail be presented so that the postal service4 does not have to do that piece of work.

Keywords

Basic Category Welfare Gain Supply Curve User Cost Postal Service 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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References

  1. Armstrong, M., C. Doyle, and J. Vickers. 1966. “The Access Pricing Problem: A Synthesis.” Journal of Industrial Economics (June): 131–150.Google Scholar
  2. Baumol, W.J., and G.J. Sidak. 1994. “Pricing of Inputs Sold to Competitors.” Yale Journal on Regulation (winter): 171–202.Google Scholar
  3. Bernstein, Peter. Direct Testimony on Behalf of the United States Postal Service, USPS-T-1, Docket No. R97–1, Postal Rate Commission.Google Scholar
  4. Crew, M.A., and P.R. Kleindorfer. 1995. “Pricing in Postal Service Under Competitive Entry.” In Commercialization of Postal and Delivery Services, edited by M.A. Crew and P.R. Kleindorfer. Boston: Kluwer.CrossRefGoogle Scholar
  5. Mitchell, R.W. 1990. Direct Testimony on Behalf of the United States Postal Service, USPS-T-20, Docket No. R90–1, Postal Rate Commission.Google Scholar
  6. Panzar, J.C. 1993. “Competition, Efficiency, and the Vertical Structure of Postal Services.” In Regulation and the Nature of Postal and Delivery Services, edited by M.A. Crew and P.R. Kleindorfer. Boston: Kluwer.Google Scholar
  7. Sherman, Roger. Direct Testimony on Behalf of the Office of the Consumer Advocate, OCA-T-300, Docket No. R97–1, Postal Rate Commission.Google Scholar
  8. Thress, Thomas E. Direct Testimony on Behalf of the United States Postal Service, USPS-T-7, Docket No. R97–1, Postal Rate Commission.Google Scholar

Copyright information

© Springer Science+Business Media New York 1999

Authors and Affiliations

  • Robert W. Mitchell

There are no affiliations available

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