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In the United States, the Postal Service has a monopoly on

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In the United States, the Postal Service has a monopoly on [#permalink] New post 11 Aug 2006, 23:10
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In the United States, the Postal Service has a monopoly on first-class mail, but much of what is sent first class could be transmitted electronically. Electronic transmittal operators argue that if the Postal Service were to offer electronic transmission, it would have an unfair advantage, since its electronic transmission service could be subsidized from the profits of the monopoly.

Which of the following questions can be answered on the basis of the information in the passage above?

(A) Is the Postal Service as efficient as privately owned electric transmission services?
(B) If private operators were allowed to operate first-class mail services, would they choose to do so?
(C) Do the electronic transmittal operators believe that the Postal Service makes a profit on first-class mail?
(D) Is the Postal Service prohibited from offering electronic transmission services?
(E) Is the Postal Service expected to have a monopoly on electronic transmission?
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SAID BUSINESS SCHOOL, OXFORD - MBA CLASS OF 2008

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 [#permalink] New post 12 Aug 2006, 00:26
C seems like the right choice here

"since its electronic transmission service could be subsidized from the profits of the monopoly" and the monopoly is first-class mail.
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Re: CR - Postal Service [#permalink] New post 12 Aug 2006, 02:33
(C) Do the electronic transmittal operators believe that the Postal Service makes a profit on first-class mail?

This is the underlying assumption ..
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 [#permalink] New post 12 Aug 2006, 04:53
gmatornot wrote:
C seems like the right choice here

"since its electronic transmission service could be subsidized from the profits of the monopoly" and the monopoly is first-class mail.


Precisely, (C)
  [#permalink] 12 Aug 2006, 04:53
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