Forget About Government Fostering Competition

The Post Office will not give up its first class mail handling privilege. It knows it cannot compete on its own if it has competition.

Other forms of non-first class package shipping is handled by private shippers. Quite efficiently and at low cost. (Incidentally, these private carriers would love to carry first class mail. But the Post Office maintains its first class monopoly).

The Post Office says it provides service to areas no private carrier will service. Not true, as evidenced by cutbacks the Post Office constantly imposes. And destinations to which private carriers go.

But the Obama administration’s so called “public option” or “co-op” health care suggestion will have a slightly different twist. It will be as inefficient and have the poor service as the Post Office, but will be supported in a different way. More indirectly, yet still by the public. And in a manner to make sure there will eventually be no private competitors.

Government never fosters competition. It can cut out competition when it is permitted to write rules to have taxpayer money undercut the pricing of the products or services of private producers.