Advanced Search
MyIDEAS: Login to save this paper or follow this series

Product Durability, Solid Waste Management and Market Structure

Contents:

Author Info

  • Marco Runkel

Abstract

For a durable consumption good which turns into waste after consumption, the socially optimal durability increases with an increase in the marginal environmental damage. In a laissez-faire equilibrium under perfect competition, producers fail to provide an efficient product design, i.e. durability is inefficiently small, whereas the amount of solid waste is inefficiently large. The market failure is corrected simply by Pigouvian taxation which also can be interpreted as an extension of the producer responsibility. In the case of imperfect competition (oligopoly or monopoly) Pigouvian taxation indeed ensures an efficient durability but generally not an efficient amount of solid waste.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://www.wiwi.uni-siegen.de/vwl/repec/sie/papers/78-99.pdf
Download Restriction: no

Bibliographic Info

Paper provided by Universität Siegen, Fakultät Wirtschaftswissenschaften, Wirtschaftsinformatik und Wirtschaftsrecht in its series Volkswirtschaftliche Diskussionsbeiträge with number 78-99.

as in new window
Length:
Date of creation: 1999
Date of revision:
Handle: RePEc:sie:siegen:78-99

Contact details of provider:
Postal: Hölderlinstr. 3, D - 57068 Siegen
Phone: ++49 (0)271 740-3139
Fax: ++49 (0)271 740-2590
Email:
Web page: http://www.uni-siegen.de/fb5/vwl/research/diskussionsbeitraege/
More information through EDIRC

Related research

Keywords:

References

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
as in new window
  1. Don Fullerton & Wenbo Wu, 1996. "Policies for Green Design," NBER Working Papers 5594, National Bureau of Economic Research, Inc.
  2. Schmalensee, Richard, 1979. "Market Structure, Durability, and Quality: A Selective Survey," Economic Inquiry, Western Economic Association International, vol. 17(2), pages 177-96, April.
  3. Swan, Peter L, 1977. "Product Durability under Monopoly and Competition: Comment," Econometrica, Econometric Society, vol. 45(1), pages 229-35, January.
  4. Benchekroun, Hassan & van Long, Ngo, 1998. "Efficiency inducing taxation for polluting oligopolists," Journal of Public Economics, Elsevier, vol. 70(2), pages 325-342, November.
  5. Sieper, E & Swan, P L, 1973. "Monopoly and Competition in the Market for Durable Goods," Review of Economic Studies, Wiley Blackwell, vol. 40(3), pages 333-51, July.
  6. LaFrance, Jeffrey T. & Barney, L. Dwayne, 1991. "The envelope theorem in dynamic optimization," Journal of Economic Dynamics and Control, Elsevier, vol. 15(2), pages 355-385, April.
  7. Dockner, Engelbert, 1988. "On the relation between dynamic oligopolistic competition and long-run competitive equilibrimn," European Journal of Political Economy, Elsevier, vol. 4(1), pages 47-64.
  8. Goering, Gregory E., 1992. "Oligopolies and product durability," International Journal of Industrial Organization, Elsevier, vol. 10(1), pages 55-63, March.
  9. Muller, Eitan & Peles, Yoram C., 1990. "Optimal dynamic durability," Journal of Economic Dynamics and Control, Elsevier, vol. 14(3-4), pages 709-719, October.
  10. Highfill, Jannett & McAsey, Michael, 1997. "Municipal Waste Management: Recycling and Landfill Space Constraints," Journal of Urban Economics, Elsevier, vol. 41(1), pages 118-136, January.
  11. Ruffin, R J, 1971. "Cournot Oligopoly and Competitive Behaviour," Review of Economic Studies, Wiley Blackwell, vol. 38(116), pages 493-502, October.
  12. Dinan Terry M., 1993. "Economic Efficiency Effects of Alternative Policies for Reducing Waste Disposal," Journal of Environmental Economics and Management, Elsevier, vol. 25(3), pages 242-256, November.
  13. Swan, Peter L, 1970. "Durability of Consumption Goods," American Economic Review, American Economic Association, vol. 60(5), pages 884-94, December.
Full references (including those not matched with items on IDEAS)

Citations

Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
as in new window

Cited by:
  1. Hagen Bobzin, 2001. "Das duale Programm der Erloesmaximierung in der Aussenhandelstheorie," Volkswirtschaftliche Diskussionsbeiträge 98-01, Universität Siegen, Fakultät Wirtschaftswissenschaften, Wirtschaftsinformatik und Wirtschaftsrecht.
  2. Hagen Bobzin, 1999. "Dualities in the Functional Representations of a Production Technology," Volkswirtschaftliche Diskussionsbeiträge 79-99, Universität Siegen, Fakultät Wirtschaftswissenschaften, Wirtschaftsinformatik und Wirtschaftsrecht.
  3. Thomas Eichner & Marco Runkel, 2000. "Efficient and Sustainable Management of Product Durability and Recyclability," Volkswirtschaftliche Diskussionsbeiträge 88-00, Universität Siegen, Fakultät Wirtschaftswissenschaften, Wirtschaftsinformatik und Wirtschaftsrecht.
  4. Thomas Christiaans, 2003. "Aging in a Neoclassical Theory of Labor Demand," Volkswirtschaftliche Diskussionsbeiträge 112-03, Universität Siegen, Fakultät Wirtschaftswissenschaften, Wirtschaftsinformatik und Wirtschaftsrecht.
  5. Thomas Christiaans, 2003. "Non-Scale Growth, Endogenous Comparative Advantages, and Industrialization," Volkswirtschaftliche Diskussionsbeiträge 113-03, Universität Siegen, Fakultät Wirtschaftswissenschaften, Wirtschaftsinformatik und Wirtschaftsrecht.
  6. Hagen Bobzin, 2002. "Fundamentals of Production Theory in International Trade. A Modern Approach Based on Theory of Duality," Volkswirtschaftliche Diskussionsbeiträge 104-02, Universität Siegen, Fakultät Wirtschaftswissenschaften, Wirtschaftsinformatik und Wirtschaftsrecht.

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:sie:siegen:78-99. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Michael Gail).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.