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Spatially and intertemporally efficient waste management: The costs of interstate flow control

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  • Eduardo Ley
  • Molly K. Macauley
  • Stephen W. Salant

Abstract

We examine the intertemporal allocation of the solid waste of cities within the United States to spatially distributed landfills and incinerators, taking into account that capacity at existing and potential landfills is scarce. Amendments have been proposed to restrict waste flows between states by means of quotas and surcharges. We assess the aggregate surplus loss (and its regional distribution) resulting from proposed policies. In addition, we find that limitations on the size of shipments to any one state can have the perverse effect of substantially increasing interstate waste shipments as states export smaller volumes to more destinations.

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Paper provided by FEDEA in its series Working Papers with number 97-07.

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Handle: RePEc:fda:fdaddt:9707

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  1. Gerard Gaudet & Michel Moreaux & Stephen W. Salant, 2001. "Intertemporal Depletion of Resource Sites by Spatially Distributed Users," American Economic Review, American Economic Association, American Economic Association, vol. 91(4), pages 1149-1159, September.
  2. Anni Huhtala, 1997. "A Post-Consumer Waste Management Model for Determining Optimal Levels of Recycling and Landfilling," Environmental & Resource Economics, European Association of Environmental and Resource Economists, European Association of Environmental and Resource Economists, vol. 10(3), pages 301-314, October.
  3. Palmer, Karen & Walls, Margaret & Sigman, Hilary, 1996. "The Cost of Reducing Municipal Solid Waste," Discussion Papers, Resources For the Future dp-96-35, Resources For the Future.
  4. Salant, Stephen W, 1995. "The Economics of Natural Resource Extraction: A Primer for Development Economists," World Bank Research Observer, World Bank Group, World Bank Group, vol. 10(1), pages 93-111, February.
  5. Kolstad Charles D., 1994. "Hotelling Rents in Hotelling Space: Product Differentiation in Exhaustible Resource Markets," Journal of Environmental Economics and Management, Elsevier, vol. 26(2), pages 163-180, March.
  6. Ready Mark J. & Ready Richard C., 1995. "Optimal Pricing of Depletable, Replaceable Resources: The Case of Landfill Tipping Fees," Journal of Environmental Economics and Management, Elsevier, vol. 28(3), pages 307-323, May.
  7. Fischer, Carolyn, 1998. "Once-and-for-All Costs and Exhaustible Resource Markets," Discussion Papers, Resources For the Future dp-98-25, Resources For the Future.
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Cited by:
  1. Managi, Shunsuke & Hibiki, Akira & Shimane, Tetsuya, 2012. "Efficiency or Technology Adoption: A Case Study in Waste- Treatment Technology," MPRA Paper 50551, University Library of Munich, Germany.
  2. Donald N. Dewees & Michael J. Hare, 1998. "Economic Analysis of Packaging Waste Reduction," Canadian Public Policy, University of Toronto Press, University of Toronto Press, vol. 24(4), pages 453-470, December.
  3. Levinson, Arik, 1999. "NIMBY taxes matter: the case of state hazardous waste disposal taxes," Journal of Public Economics, Elsevier, Elsevier, vol. 74(1), pages 31-51, October.
  4. Molly Macauley & Eduardo Ley & Stephen W. Salant, 2000. "Restricting the Trash Trade," American Economic Review, American Economic Association, American Economic Association, vol. 90(2), pages 243-246, May.

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