> So if you want to keep the price of a stamp the same nationwide you need to grant a monopoly.
The conclusion does not follow. If it is important that the price of delivery to remote Alaska be cheap, then why not just subsidize it directly?
The conclusion does not follow. If it is important that the price of delivery to remote Alaska be cheap, then why not just subsidize it directly?
If I reside in Florida/Hawaii and send mail to Alaska I am presuming that it would get re-routed through intermediate stops. Also people move and mail traffic ebbs and flows through the seasons. So I don't understand how this subsidies would work unless we look at the network as a whole and budget accordingly.