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Eco-Efficiency in the Italian Waste Management sector

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    Abstract

    In the light of the recent European environmental regulation, in Italy, waste collection management has been involved in some important changes both from environmental and management point of view. From the one hand, firms want to maximize the quantity of collected Municipal Solid Waste (MSW) showing an increasing capacity of waste collection per unit of labor and capital, from the other hand they want to minimize the level of Undifferentiated Solid Wastes (USW) in order to meet environmental goals. This paper extends the concept of Directional Distance Function (DDF) to the waste sector, in which previous applications of efficiency models have been mainly focused on the cost-function side. The idea of DDF (by Chambers et al.,1996; 1998) is here applied to treat asymmetrically two categories of outputs: one desirable (amount of MSW) and one undesirable (level of undifferentiated wastes) both observed (with inputs) from a sample of around 450 Italian municipalities during 2006. Computed efficiency scores are analyzed in light of different tariff systems (e.g. flat fee and pay as you through), different socio-economic contexts (e.g. Northern vs Southern Italy) and prevalent political side in local government (Left wings vs Right-wing parties). Keywords: 4-6 nanocompounds, atmospheric pollutants, social costs evaluation, social saving, titanium dioxide.

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    Paper provided by Institute for Economic Research on Firms and Growth - Moncalieri (TO) in its series CERIS Working Paper with number 201312.

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    Length: 18 pages
    Date of creation: Dec 2013
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    Handle: RePEc:csc:cerisp:201312

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    Keywords: DEA; DDF; Waste Management; Waste Policies;

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    1. Bellenger, Moriah J. & Herlihy, Alan T., 2010. "Performance-based environmental index weights: Are all metrics created equal?," Ecological Economics, Elsevier, vol. 69(5), pages 1043-1050, March.
    2. Chambers, Robert G. & Chung, Yangho & Fare, Rolf, 1996. "Benefit and Distance Functions," Journal of Economic Theory, Elsevier, vol. 70(2), pages 407-419, August.
    3. Rolf Färe & Shawna Grosskopf, 2000. "Theory and Application of Directional Distance Functions," Journal of Productivity Analysis, Springer, vol. 13(2), pages 93-103, March.
    4. Bruce Domazlicky & William Weber, 2004. "Does Environmental Protection Lead to Slower Productivity Growth in the Chemical Industry?," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 28(3), pages 301-324, July.
    5. Massimiliano Mazzanti & Roberto Zoboli, 2009. "Municipal Waste Kuznets Curves: Evidence on Socio-Economic Drivers and Policy Effectiveness from the EU," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 44(2), pages 203-230, October.
    6. Andr�s J Picazo-Tadeo & Andr�s Garc�a-Reche, 2007. "What makes environmental performance differ between firms? Empirical evidence from the Spanish tile industry," Environment and Planning A, Pion Ltd, London, vol. 39(9), pages 2232-2247, September.
    7. Rogge, Nicky & De Jaeger, Simon, 2013. "Measuring and explaining the cost efficiency of municipal solid waste collection and processing services," Omega, Elsevier, vol. 41(4), pages 653-664.
    8. Nick Johnstone & Julien Labonne, 2004. "Generation of Household Solid Waste in OECD Countries: An Empirical Analysis Using Macroeconomic Data," Land Economics, University of Wisconsin Press, vol. 80(4).
    9. Watanabe, Michio & Tanaka, Katsuya, 2007. "Efficiency analysis of Chinese industry: A directional distance function approach," Energy Policy, Elsevier, vol. 35(12), pages 6323-6331, December.
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