He points us to a fascinating article by the Wall Street Journal's Josh Sandbulte, who notes that taxpayers are subsiding Amazon with a $1.46 payment for each box it delivers.
Like many close observers of the shipping business, I know a secret about the federal government’s relationship with Amazon: The U.S. Postal Service delivers the company’s boxes well below its own costs. Like an accelerant added to a fire, this subsidy is speeding up the collapse of traditional retailers in the U.S. and providing an unfair advantage for Amazon.
Amazon is big enough to take full advantage of “postal injection,” and that has tipped the scales in the internet giant’s favor. Select high-volume shippers are able to drop off presorted packages at the local Postal Service depot for “last mile” delivery at cut-rate prices. With high volumes and warehouses near the local depots, Amazon enjoys low rates unavailable to its competitors. My analysis of available data suggests that around two-thirds of Amazon’s domestic deliveries are made by the Postal Service. It’s as if Amazon gets a subsidized space on every mail truck.
Walsh concludes with a warning to consumers, 'Enjoy your "savings" and "convenience," folks. After all, you're paying for it -- boy, are you ever.'
Hat tip: BadBlue Uncensored News.