Studies of Social and Commercial Benefits of Postal Services: Economic Effects of Post Offices

Research Report

Studies of Social and Commercial Benefits of Postal Services: Economic Effects of Post Offices

Abstract

Does the closing of a post office have negative effects on the economic indicators of the surrounding community?This study uses a difference-in-differences approach to assess the economic impact of a post office closure on a community. We compared employment and number of business establishments in communities with a post office to similar communities where a post office has been closed between 2002 and 2005.While the results do not provide conclusive evidence of economic impact, they do suggest a small, sometimes significant, negative impact on employment in the ZIP codes with post office closures.

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