Wanna bet on that?
That said, I did not say they can't coexist, I just said that anything the government is involved in is not capitalism. In order to have capitalism, there has to be competition, and no one competes with the government because the government doesn't allow it. If it did the Post office would be dead.
Hummmmmmm....... ".... no one competes with the government because the government doesn't allow it." Is that so? Ever hear of FedEx or UPS (United Parcel Service)? If I am not mistaken they are in direct competition with the post office. Further, can you cite any law that says that private companies ARE NOT allowed to develop a private or public postal service?
Let's take these as a good example. Strictly speaking, people that FedEx is in the business of delivering packages (or mail in one of their envelopes). But the truth is this: they're in the business of making a profit. Of course, that's true of every business.
Now, all things being equal, FedEx (and the other delivery services) are not cheap. They certainly don't deliver the equivalent of first class letters for less than 50 cents per letter. It's even lower for other forms of mail which businesses take full advantage of in order to keep their costs low. Below are the rates.
Bulk Mail Rates – Standard Mail Postage
Class of Mail
Size
2013 Cost
1st Class
Letter
$0.450
1st Class Presort
Postcard
$0.229
1st Class Presort
Letter
$0.350
1st Class Presort
Flat
$0.400
Standard Rate
Letter
$0.242
Standard Rate
Flat
$0.353
Non Profit Rate
Letter
$0.130
Non Profit Rate
Flat
$0.214
Some people would have everyone believe that the USPS is full of inefficiencies. I'm sure that there are some inefficiencies. But does anyone really think that private companies could deliver the massive quantities of mail that the USPS does on a nationwide basis for the amount of money that they USPS charges? Keep in mind that any business would have to set up a network of post offices and sorting centers all across the country. The start up cost alone would be tens of billion of dollars for buildings, equipment, vehicles, airplanes, employees, etc.
Could a private business do this? Sure. But not at those rates. Forget about 1st class mail for a minute. Anyway, with email these days, the chances are that most personal 1st class mail is in the form of birthday cards, wedding invitations, and the kind of personal correspondence that doesn't translate well to email.
The BIG impact would be on business. American companies spend a small fortune on mail. It's everything from confirmation letters to solicitation mail where they target large numbers of people in the hope that they can actually generate customers. Imagine what would happen to American business if overnight they found their cost tripling or quadrupling to send out mail related to their business operations. What would happen to a business if it found it's mail costs jump from say $10,000 per month to about $50,000 per month?Think about what would mean to how they would have to price their products and services to the general public?
USPS rates are an example of a gov't giveaway that promotes business in this country in much the same way that farm subsidies promote inexpensive food costs to the general public.