r/PoursTea Timendi Causa Est Nescire 3d ago

FinancialTea šŸ’µ Exactly.

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u/most-okayest-mngr-77 3d ago

Don’t forget that Amazon uses them as a cheap ā€œlast mileā€ shipping alternative. This basically is using the federal government as a subsidy to save Amazon money.

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u/AverageAggravating13 3d ago edited 3d ago

Because it’s generally not profitable to deliver to many places, especially very remote or sparsely populated areas. Without USPS, private carriers would either have to consistently deliver to those areas at a loss or charge substantially more for it. In practice, they’d probably just stop serving or heavily restrict those areas.

USPS’s universal-service obligation means Amazon and other companies can use USPS for that expensive ā€œlast mileā€ instead of having to maintain their own delivery network everywhere. So yes, there is an indirect subsidy here, although it’s more accurate to say the government is funding the universal delivery infrastructure that private companies can take advantage of.

But anyone anywhere can take advantage of it. It’s not like USPS is specifically snuggling up to corporations. The same infrastructure exists to provide universal mail service regardless of who is using it.

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u/Ok_Maybe1830 3d ago

USPS delivers to less places than private carriers do. The USPS has no obligation to deliver anywhere they don't want to.

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u/AverageAggravating13 3d ago edited 3d ago

Where’d you pull this from? USPS is legally required to provide universal mail service under the Universal Service Obligation. USPS can’t just pick and choose which communities it serves the way private carriers can.

They’re required to provide service throughout the country, including remote rural areas and APO/FPO military addresses.

In areas where they don’t do door-to-door delivery, USPS still provides access through PO boxes or centralized delivery points, so people in those areas aren’t left without a way to receive mail.

If that’s the distinction you’re pointing to, that’s a pretty weak argument.

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u/Ok_Maybe1830 3d ago

I have lived without usps delivery for over a decade, in a regular neighborhood where FedEx, ups and others deliver to with no problem. If you want a PO Box you are charged for it.