Ready for a "forever" postage stamp?

I like the idea.

Not very wise. That would be the same thing as a permanent price fix on any product, and as inflation takes it's toll new purchases would have to cover the shortfalls of old ones. Stamps themselves would trade like commodities. It may happen anyway because the surge in sales upfront must have the P.O. salivating; but in the long run it will have a detrimental effect. Just another way of spending tomorrow's money today.

Sounds good to me. PO gets .41 now. Next year, the rate goes up to .43. Post Office doesn't lose; they had a year's worth use from the 41 cents.

OBill, Trading in stamps have been going on for many decades(if not a century). I like the idea of permanent rates for first class mail, because we won't need to buy penny stampes to make up for the ones we still have. They can always increase the rates for all other postal services to make up any "shortfall" which they will do to stay in business and remain competitive.

People with means will buy a lifetime supply, while people without will suffer the consequential shortfalls in years to come. This is opposite your usually progressive reasoning, C.I.

canada post adopted this system this year

O'Bill, I don't think it'll be a problem. Sure people will buy a lifetime supply now when the stamps are around 40 cents, but I think most people won't have the desire to do so. It's a pain in the butt. I like the idea of this. The rates go up, the stamps stay the same. My biggest worry is that they won't put out the cool themed stamps anymore.

It'd cost me over 1300 bucks to buy 40 years worth of stamps at the current rate (I don't use that many), why would I put myself in the hole now to save some change later? To curtail lifetime buyers I think the post office could put a limit on how many you could buy at one time. Anyone wanting a lifetime supply would have to work a little harder to get them.

For the same reason you'd purchase any other security.

Yeah, but others would probably be a better investment. I mean, how much do postage prices rise, over time? I'm guessing quite a bit less than, say, share prices, or even saving rates. So better put those 1,300 bucks in a savings or investment account and buy your stamps in 10 year time for market prices. K is right, it wouldnt be worth it.

Theres the emotional/instinctive side to human behaviour too, theres just not a lotta folk around who are the type to spend big bucks now to save a coupla measly cents a envelope in 10 years time.

Ah, but postage rates are guaranteed by the governments continued deficit spending. A perfect inflationary hedge.

Hm, having a forever stamp: how would they know that I'd still be using
up my 200 or so 41¢ stamps when in actuality the price had changed
to 45 ¢?

Why would they care what you paid once they had the money.

Roger, while the postage might have increased substantially, I'd still
be using 41¢ stamps.

CJ, They'll have a special marking on the stamp that shows it's a "fixed rate" speical stamp good "forever."

OBill, I doubt very much a "lifetime supply" of those stamps would be a good investment.

First class postage stamp cost .10c in 1975. It's now .39c.
A 29c increase in 30 years without considering the intermediate rate hikes. I bet almost any investment since 1975 would have paid much better - except keeping the money under a mattress.

I stand corrected. Upon further thought and only a couple of comparisons; I was wrong. Savings by buying in bulk would be insignificant, if indeed they weren't a relatively bad investment, historically. I now favor the plan as I'm a lazy SOB, and would likely buy in bulk for convenience sake alone. (Sam's Club is my nemesis: oops:) Please forgive my earlier, erroneous, outburst.

1) You are forgetting about opportunity cost loss when you claim your presumed benefits of forward buying.

2) You are also forgetting about the implications of real purchasing power and inflation when attempting to establish the true costs of postage going forward, which may in fact be less not more.

3) You are also forgetting about the beneficial potential of a possible derivatives (options) market for these new stamps, which can serve to the general consumer's benefit due to improved liquidity and more realistic market expectations as per the true underlying costs.