USPS is an example. It's sort of a public utility that has some strange requirements, like it _must_ __offer__ service to everyone. In some places this is less profitable, and private postal / shipping firms might not even offer their own service (or pay USPS for the last leg instead).
However, because USPS exists, there is a ceiling to how much other firms can charge without differentiating their services to make it worth the difference in cost. It helps ensure the market functions with proper competition.
For any other market where distortion (dysfunctional market) is observed, the solution is not to mandate the impossible from the existing players, but to modify the market conditions where they are broken.
However, because USPS exists, there is a ceiling to how much other firms can charge without differentiating their services to make it worth the difference in cost. It helps ensure the market functions with proper competition.
For any other market where distortion (dysfunctional market) is observed, the solution is not to mandate the impossible from the existing players, but to modify the market conditions where they are broken.