SECOND ARTICLE

The service eventually, which would be simplified to an incommensurable extent, will certainly allow for notable savings.

Frédéric Bastiat
Complete Works, Volume 7, pages 83 to 91 (in French)
Mémorial bordelais, April 30rd, 1846

In this second article pertaining to postal reform, Frédéric Bastiat delve into the details of it. The proposal was to multiply the number of destination zones and amend the price schedule accordingly in the name of equity (a letter sent over a long distance costs more than over a short distance). However, the cost associated with distance was only a small component of the total price (it reminds us of the maritime freight in the 21st century when products may circumvent the earth several times in order to optimise production costs) and the suggested fee schedule created an injustice that was even higher than that of a unique stamp price by creating progressive taxes. Frédéric Bastiat also shows that implementing such a reform would create a labyrinthine and inefficient system.

Today’s quote insists on the fact that a simplification of the processus (unique price of postage stamp) is so superior in terms of costs that it justifies the residual inequity that would not be corrected. It is no coincidence if it applies to a State monopoly but it could also apply to services offered by a large company. The added complication of a process can be extremely costly because of the procedures that need to be implemented in order to allow for controls and the controls to be implemented in order to enforce the said procedures. This is circular and the weight of the State (or private bureaucracy) explodes to the detriment of productivity. One of the secrets of Apple’s success is to have adopted the idea expressed by Antoine de Saint-Exupéry that “perfection is achieved, not when there is nothing more to add, but when there is nothing left to take away”. A thought that is worth considering.

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