economics Archives - Digital Marketing & Website Design Firm

The New York Times just reported that the US Postal Service will soon stop delivering First Class mail on Saturday. Reduction of store hours is a common tactic used to “stem the tide of losses” for failing companies. Borders bookstore (RIP) cut back hours across the nation before closing its doors with finality.

My question is – does reduction of service to customers ever really result in turning around a failing business scene?

In this case, the proliferation of email and other messaging services is being blamed for the reduced volume of First Class mail. Email is, of course, fast, convenient and cheap – so, how exactly will making the postal service less convenient and slower make it more valuable for its customers?

I believe that the Postmaster General would better spend his time creating a way to make First Class service more valuable – not less relevant.Continue Reading

There is an economic theory that says this:

Our capitalist system relies on the ability to continue to expand. We no longer can expand without wars or unethical trade agreements with underprivileged societies. Therefore, we will fail.

Those who subscribe to this theory point out that we on planet earth live in a “closed system”, meaning that there are only so many resources, and that as our population grows, this necessitates that more and more people will have less and less.

This economic is close enough to true to be appealing. We do, indeed, live on a planet with limited resources. As a nation, we can no longer expand our borders across the continent – we ran out of continent a while back.Continue Reading