Trump: The U.S. Postal Service should raise its prices by 400% - or I'm withholding funding (VIDEO)
President Donald Trump threatened on Friday to withhold emergency Covid-19 funding from the U.S. Postal Service because he feels like sending packages should be more expensive. Say, what!?
“The post office should raise the price of a package by approximately four times,” the president said. “Four or five times, that’s what it should be—or let Amazon build their own post office, which would be an impossible thing to do, because the post office is massive and serves every little piece of the country.”
Trump is under the impression that raising the prices will only hurt big companies like Amazon, not consumers. That's just not true. It'll essentially be a tax on people because businesses will just transfer those costs to people. The fact that Trump wants to do this during an economic crisis is beyond the pale.
Treasury Secretary weighed in on postal reform and Trump cut him off: "I'll go a step further," he said, "If they don't raise the price I'm not signing anything."
One reason for this behavior from Trump could be political: Republicans have been fighting against mail-in voting for some time now. This would be one way to try and do it.
As far as Trump's concern that they don't charge enough to be profitable, this too has been analyzed by experts. Per the Washington Post, the higher rates could actually hurt the agency by putting its prices above UPS and FedEx.
Bottom line: Trump should not be using the prospect of canceling emergency funding over the agency's head in an attempt to enact reforms. It's not the right time nor the right way to do it.