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The woes of the Post Office are about to go critical thanks to a combination of recession and the internet:
Sometime early next year, the agency will run out of money to pay its employees and gas up its trucks, officials warn, forcing it to stop delivering the roughly three billion pieces of mail it handles weekly.
The causes of the crisis are well known and immensely difficult to overcome.
Mail volume has plummeted with the rise of e-mail, electronic bill-paying and a Web that makes everything from fashion catalogs to news instantly available.
The system will handle an estimated 167 billion pieces of mail this fiscal year, down 22 percent from five years ago.
It's difficult to imagine that trend reversing, and pessimistic projections suggest that volume could plunge to 118 billion pieces by 2020.
The law also prevents the post office from raising postage fees faster than inflation.
http://www.theatlantic.com/business/archive/2011/09/whither-the-post-office/244633/
The causes of the crisis are well known and immensely difficult to overcome.
Mail volume has plummeted with the rise of e-mail, electronic bill-paying and a Web that makes everything from fashion catalogs to news instantly available.
The system will handle an estimated 167 billion pieces of mail this fiscal year, down 22 percent from five years ago.
It's difficult to imagine that trend reversing, and pessimistic projections suggest that volume could plunge to 118 billion pieces by 2020.
The law also prevents the post office from raising postage fees faster than inflation.
http://www.theatlantic.com/business/archive/2011/09/whither-the-post-office/244633/