Factors Affecting Labor Productivity in Post Offices

Abstract This article applies canonical correlation analysis to study the joint production function which characterizes intra-post office activities. The analyses assess the relative importance of the factors which operate simultaneously to determine the vector of productivities. The input factors include the temporal distribution of mail flowing into post offices, the physical capitalization, the allocation of labor, and the economies of scale of post office operations. It is found that the intra-post office allocation of labor and capital is currently suboptimal in terms of the maximization of average labor productivity.