GDL

Journal from gdlhub / 2017-08-14 11:55:52
Oleh : Rob F. T. Aalbers , Herman R. J. Vollebergh, Springer
Dibuat : 2010-09-01, dengan 1 file

Keyword : Economics of waste , Recycling , Environmental taxes and subsidies ,General equilibrium theory

Using a general equilibrium model with heterogeneous waste, this paper studies optimal waste policy when households have to exert separation effort to produce homoge-neous waste streams suitable for recycling. Our model explicitly allows for changes in the composition (quality) of waste streams depending on how much effort households are will-ing to spend on separating different types of waste. Accordingly, we are able to generalize some earlier contributions to the wastemanagement literature and demonstrate that with both mixing and effort included, a first-best optimum is feasible under reasonable conditions. In particular, we find that a (modified) deposit-refund system still provides the optimal incen-tives to guide recycling as well as legal disposal (landfilling) and illegal dumping. Both the number and level of taxes and subsidies needed to reach the first-best depend crucially on the socially optimal level of dumping as well as the socially optimal composition of the mix.

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