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User Charges as a Means for Pollution Control: The Case of Sewer Surcharges

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  • Don Ethridge

Abstract

Some cities in the U.S. are using sewer surcharges based on the strength of wastes discharged to induce industrial firms to decrease their discharges of water-carried wastes. Many other cities are either in the process of instituting sewer surcharges or are considering instituting them. This study reports the estimates of the responses of the poultry and beet processing industries to sewer surcharges which were derived using two different estimation procedures. A surcharge of $0.02 per pound of biochemical oxygen demand is estimated to decrease the total pounds by 75 percent for beet processing firms and approximately 25 percent for poultry processing firms.

Suggested Citation

  • Don Ethridge, 1972. "User Charges as a Means for Pollution Control: The Case of Sewer Surcharges," Bell Journal of Economics, The RAND Corporation, vol. 3(1), pages 346-354, Spring.
    • Handle: RePEc:rje:bellje:v:3:y:1972:i:spring:p:346-354
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    Cited by:

    1. Wallace Oates & William Baumol, 1975. "The Instruments for Environmental Policy," NBER Chapters, in: Economic Analysis of Environmental Problems, pages 95-132, National Bureau of Economic Research, Inc.

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