Productivity and Cost Measurement for the United States Postal Service: Variations Among Regions

  • J. R. Norsworthy
  • Show-Ling Jang
  • Wei-Ming Shi
  • Thomas A. Abbott
  • Donald J. O’Hara
Part of the Topics in Regulatory Economics and Policy Series book series (TREP, volume 8)


This paper extends the application of cost function-based analysis of productivity to the complex service sector, where it is generally believed that the influence of worker attitudes on productivity is greater than in manufacturing sectors. Also introduced is an explicit model of worker attitude formation, based on measures of workload, supervision, and the organization of production. The data base for the study is a cross-section of 200 Management Sectional Centers for the United States Postal Service (LISPS) for 1984. These Management Sectional Centers (MSCs) have responsibility for mail collection, forwarding, and delivering for geographic regions that completely cover all 50 states. The resulting cost model is used to estimate productivity at these 200 MSCs, as well as the cost of serving the particular geographic areas, characterized in terms of the number of delivery points, population, and areas served in square miles.


Marginal Cost Total Factor Productivity Input Price Network Cost Capital Input 
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Copyright information

© Springer Science+Business Media New York 1991

Authors and Affiliations

  • J. R. Norsworthy
  • Show-Ling Jang
  • Wei-Ming Shi
  • Thomas A. Abbott
  • Donald J. O’Hara

There are no affiliations available

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