The explosion in new communications technologies since 1790, and their rapidly falling price, ensures that no one is cut off from the larger society unless that is their desire. One obvious alternative that may be more useful than a letter in preventing isolation is a phone call. Recent estimates show that long-distance telephone rates fell between 40 and 47 percent from 1984 to 1994, increasing the viability of this option. Another option is the facsimile, which is a close alternative to letter delivery in that a written message can be transmitted instantaneously at very low cost. Although both sender and receiver must have access to a fax machine to complete such a communication, numerous businesses are now willing to provide this service, and inexpensive fax machines are now widely available.
Electronic mail allows written messages to be transmitted instantaneously.
Once both sender and receiver have access to a computer, the marginal cost of sending an electronic message is close to zero. It is a mistake, however, to believe that the availability of substitutes implies that the postal monopoly no longer imposes costs on society. Many important items, such as financial statements and wedding invitations, continue to be sent through the mails. The prices that customers currently pay for delivery of these items reflect the substantial costs of a legally enforced monopoly. Perhaps because of this, other countries have weakened their postal monopolies and some will soon be eliminated.