The R2006-1 Rate Case. PRC Recommendation “Cost-Based Rates”. Cost-Based Rates. Efficient Component Pricing (ECP) Shape-Based Rates Rate Structures Reflective of Cost Causation. ECP. Worksharing Discount = Cost Avoided Sends proper price signal
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USPS Proposal Did Not Fully Reflect Cost Differences
All of these are reflected to some extent in Periodicals rates today, but not in a way that tracks how USPS costs are incurred.