4Postal Services
There is an increasing momentum towards privatisation and liberalisation in the postal sector. This has an impact on trade in services, especially in related sectors such as express delivery services. This chapter will focus on the impact of privatisation and deregulation on trade and competitive markets in postal and related markets.
The postal industry, while it has many network industry characteristics, does not have the very high sunk costs associated with other key industries such as telecoms, electricity and gas discussed earlier. There are therefore differences in how it behaves from other network industries that help us develop general themes.
Because the postal sector’s costs are primarily ...
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