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The Demand for Solid Waste Disposal

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  • G. Strathman
  • Anthony M. Rufolo
  • Gerard C. S. Mildner
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    Abstract

    In this paper we estimate the elasticity of demand for landfill disposal of municipal solid waste using data from the Portland, Oregon metropolitan area. Efficiency losses associated with deviations from marginal cost pricing of disposal services are then derived. The efficiency losses of small deviations from long-run marginal disposal costs are not large. However, many municipalities finance solid waste services from general tax revenues, in which case waste generators effectively face zero marginal costs. Here, the efficiency losses are much larger, indicating that communities would benefit from introducing volume or weight-based pricing.

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    Bibliographic Info

    Article provided by University of Wisconsin Press in its journal Land Economics.

    Volume (Year): 71 (1995)
    Issue (Month): 1 ()
    Pages: 57-64

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    Handle: RePEc:uwp:landec:v:71:y:1995:i:1:p:57-64

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    Web page: http://le.uwpress.org/

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    Cited by:
    1. Takehiro Usui & Kenji Takeuchi, 2012. "Evaluating Unit-Based Pricing Of Residential Solid Waste: A Panel Data Analysis," Discussion Papers, Graduate School of Economics, Kobe University 1203, Graduate School of Economics, Kobe University.
    2. Scott Callan & Janet Thomas, 1999. "Adopting a Unit Pricing System for Municipal Solid Waste: Policy and Socio-Economic Determinants," Environmental & Resource Economics, European Association of Environmental and Resource Economists, European Association of Environmental and Resource Economists, vol. 14(4), pages 503-518, December.
    3. Choe, Chongwoo & Fraser, Iain, 1998. "The economics of household waste management: a review," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, Australian Agricultural and Resource Economics Society, vol. 42(3), September.
    4. Hai-Lan Yang & Robert Innes, 2007. "Economic Incentives and Residential Waste Management in Taiwan: An Empirical Investigation," Environmental & Resource Economics, European Association of Environmental and Resource Economists, European Association of Environmental and Resource Economists, vol. 37(3), pages 489-519, July.
    5. Daigee Shaw & Yue-Mi Tsai, 2004. "Assessing Alternative Policies for Reducing Household Waste in Taiwan," IEAS Working Paper : academic research, Institute of Economics, Academia Sinica, Taipei, Taiwan 04-A010, Institute of Economics, Academia Sinica, Taipei, Taiwan.
    6. Germà Bel & Raymond Gradus, 2014. "“Effects of unit-based pricing on the waste collection demand: a meta-regression analysis”," IREA Working Papers, University of Barcelona, Research Institute of Applied Economics 201420, University of Barcelona, Research Institute of Applied Economics, revised Jun 2014.
    7. Elbert Dijkgraaf & Raymond Gradus, 2004. "Cost savings of unit-based pricing of household waste: The case of the Netherlands," Public Economics, EconWPA 0409001, EconWPA.
    8. Thomas C. Kinnaman & Don Fullerton, 1997. "Garbage and Recycling in Communities with Curbside Recycling and Unit-Based Pricing," NBER Working Papers 6021, National Bureau of Economic Research, Inc.

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