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Worksharing: How Much Productive Efficiency, at What Cost and at What Price?

In: Progress toward Liberalization of the Postal and Delivery Sector

Author

Listed:
  • Robert H. Cohen

    (Postal Rate Commission)

  • Matthew H. Robinson

    (Postal Rate Commission)

  • John D. Waller

    (Postal Rate Commission)

  • Spyros S. Xenakis

    (Postal Rate Commission)

Abstract

Worksharing refers to upstream postal activities, such as presortation and barcoding, performed by mailers or third parties to obtain discounts on postage for reducing the post’s upstream costs. From a practical regulatory point-of-view the primary purpose of worksharing is to lower society’s cost of production (i.e., to increase productive efficiency) by allowing customers and third parties to perform upstream activities when their costs are lower than the post’s. Previous studies by the authors have shown that the increase in productive efficiency can be quite substantial (Cohen, et al. 2002, Cohen, et al. 2004).

Suggested Citation

  • Robert H. Cohen & Matthew H. Robinson & John D. Waller & Spyros S. Xenakis, 2006. "Worksharing: How Much Productive Efficiency, at What Cost and at What Price?," Topics in Regulatory Economics and Policy, in: Michael A. Crew & Paul R. Kleindorfer (ed.), Progress toward Liberalization of the Postal and Delivery Sector, chapter 0, pages 141-152, Springer.
    • Handle: RePEc:spr:topchp:978-0-387-29744-6_9
    DOI: 10.1007/978-0-387-29744-6_9
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    Citations

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    Cited by:

    1. Kalevi Dieke, Alex & Junk, Petra & Zauner, Martin, 2010. "Netzzugang und Zustellwettbewerb im Briefmarkt," WIK Discussion Papers 336, WIK Wissenschaftliches Institut für Infrastruktur und Kommunikationsdienste GmbH.
    2. Joan Calzada, 2009. "Access charges under two-tier pricing," Journal of Regulatory Economics, Springer, vol. 35(3), pages 296-311, June.
    3. Panzar John, 2011. "Postal Service Pricing Incentives Following the Introduction of Price Cap Regulation," Review of Network Economics, De Gruyter, vol. 10(3), pages 1-26, September.
    4. Jaag, Christian, 2014. "Postal-sector policy: From monopoly to regulated competition and beyond," Utilities Policy, Elsevier, vol. 31(C), pages 266-277.
    5. Bender, Christian M. & Kalevi Dieke, Alex & Junk, Petra & Thiele, Sonja, 2014. "Netzzugang im Briefmarkt," WIK Discussion Papers 382, WIK Wissenschaftliches Institut für Infrastruktur und Kommunikationsdienste GmbH.

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