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Postal Service As a Monopoly

ce would receive more money because they cold increased profits was by competitively selecting banks that would give them higher interest rates and such. Probably the most relevant and final way to improve the budget of the Postal Service is to improve the bookkeeping policies and banking techniques.Not only did the Post al Service propose to increase profits but they proposed to cut costs in a number of ways. There were three methods that were proposed in 1946 for the protection of salaries that no longer exists. These have to do with the rural mail carriers. Under this antiquated method of delivering mail the Postal Service was losing money to any mail that went to rural areas. There are 48,000 mail carriers that deliver mail to millions of families that considered to be living in rural settings; this cost to Postal Service $58 million dollars a year. This is a fairly easy problem to fix considering how much money is being lost. It was proposed that money loss could be significantly cut down if the Postal Service corrected the following problems. The rural mail carriers were assigned a certain amount of time to deliver to a specific rural area, this method was out of date and because of this the carriers have free time for which they go paid for. The next problem was that other mail routes based pay on how many miles the route covered, so that carriers were getting paid by the mile. With this problem fixed the Postal Service could saved 26.8 million a year. There was also an hourly rate that was in effect which indirectly promoted inefficient service. A stop to this could have saved the Postal Service $255,000 a year. From the numbers mentioned above, it can be seen why the United States Postal Service was losing so much money.These problem did indeed eventually get solved over the past fifteen years and now the Postal Service is making record breaking profits. Now in the first quarter of the fiscal year 1996 the Postal...

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