Postal rates to keep rising
The Kansas City Star
American consumers are feeling the Postal Service pinch again.
With little warning, the U.S. Postal Service announced Sunday that rates for first class letters would rise Monday from 45 cents to 46 cents, and postcards would go up a penny to 33 cents.
The postal service’s revenue stream is drying up like the rivers and creeks suffering from the Midwest drought. More people are turning to the Internet to communicate causing fewer people to buy stamps to mail cards, letters and bills.
The number of addresses in the U.S. have grown by 17 million, but the number of postal workers has dropped by more than 200,000, a Gannett news service reports.
Post offices are closing or reducing hours nationwide. The Associated Press has reported that the Postal Service has to reduce its costs by billions of dollars.
But to raise revenue it also has to tap consumers more. Stamps went up 2 cents in 2009 to 44 cents. They jumped again in 2011 to 45 cents.
The pattern is as consumers use less, the cost rises. We’ll likely see more of that in other industries.