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Assessing Incentive‐Based Environmental Policies For Reducing Household Waste Disposal

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  • DEBORAH VAUGHN NESTOR
  • MICHAEL J. PODOLSKY

Abstract

In residential solid waste management, the United States has a great deal of experience in applying incentive‐based environmental policy in the form of unit pricing. This study examines the two most common forms of unit pricing practiced in the United States. It offers intuition and empirical evidence suggesting divergence of theoretical expectations and actual outcomes regarding the effects of switching to unit pricing. Data collected from households in Marietta, Ga. during a solid waste pricing experiment serve as the basis for the analysis.

Suggested Citation

  • Deborah Vaughn Nestor & Michael J. Podolsky, 1998. "Assessing Incentive‐Based Environmental Policies For Reducing Household Waste Disposal," Contemporary Economic Policy, Western Economic Association International, vol. 16(4), pages 401-411, October.
    • Handle: RePEc:bla:coecpo:v:16:y:1998:i:4:p:401-411
    DOI: 10.1111/j.1465-7287.1998.tb00528.x
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    1. Takehiro Usui & Kenji Takeuchi, 2014. "Evaluating Unit-Based Pricing of Residential Solid Waste: A Panel Data Analysis," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 58(2), pages 245-271, June.
    2. Aiken, Deborah Vaughn, 2006. "Application of the distance function to nonmarket valuation of environmental goods and services: An illustrative example," Ecological Economics, Elsevier, vol. 60(1), pages 168-175, November.
    3. Ida Ferrara & Paul Missios, 2005. "Recycling and Waste Diversion Effectiveness: Evidence from Canada," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 30(2), pages 221-238, February.
    4. Thomas C. Kinnaman & Don Fullerton, 2002. "The Economics of Residential Solid Waste Management," Chapters, in: Don Fullerton & Thomas C. Kinnaman (ed.), The Economics of Household Garbage and Recycling Behavior, chapter 1, pages 1-48, Edward Elgar Publishing.
    5. Bueno, Matheus & Valente, Marica, 2019. "The effects of pricing waste generation: A synthetic control approach," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 96, pages 274-285.
    6. W. Kip Viscusi & Joel Huber & Jason Bell & Caroline Cecot, 2013. "Discontinuous Behavioral Responses to Recycling Laws and Plastic Water Bottle Deposits," American Law and Economics Review, American Law and Economics Association, vol. 15(1), pages 110-155.
    7. Scott, Sue & Watson, Dorothy, 2006. "Introduction of Weight-Based Charges for Domestic Solid Waste Disposal," MPRA Paper 107713, University Library of Munich, Germany.
    8. Jannett Highfill & Michael McAsey, 2001. "Landfilling Versus ``Backstop'' Recycling When Income Is Growing," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 19(1), pages 37-52, May.
    9. Ankinée Kirakozian, 2016. "One Without The Other? Behavioural And Incentive Policies For Household Waste Management," Journal of Economic Surveys, Wiley Blackwell, vol. 30(3), pages 526-551, July.
    10. Hai-Lan Yang & Robert Innes, 2007. "Economic Incentives and Residential Waste Management in Taiwan: An Empirical Investigation," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 37(3), pages 489-519, July.
    11. Agnès Festré & Pierre Garrouste & Ankinée Kirakozian & Mira Toumi, 2017. "The Pen Might Be Mightier than the Sword: How Third-party Advice or Sanction Impacts on Pro-environmental Behavior," GREDEG Working Papers 2017-15, Groupe de REcherche en Droit, Economie, Gestion (GREDEG CNRS), Université Côte d'Azur, France, revised Aug 2017.
    12. Palmer, Karen & Martinez, Salvador & Jenkins, Robin & Podolsky, Michael, 1999. "The Determinants of Household Recycling: A Material Specific Analysis of Unit Pricing and Recycling Program Attributes," RFF Working Paper Series dp-99-41-rev, Resources for the Future.
    13. Starr, Jared & Nicolson, Craig, 2015. "Patterns in trash: Factors driving municipal recycling in Massachusetts," Resources, Conservation & Recycling, Elsevier, vol. 99(C), pages 7-18.
    14. Heller, Marit H. & Vatn, Arild, 2017. "The divisive and disruptive effect of a weight-based waste fee," Ecological Economics, Elsevier, vol. 131(C), pages 275-285.
    15. Jannett Highfill & Michael Mcasey, 2004. "Gains and losses from transfers of solid waste," International Advances in Economic Research, Springer;International Atlantic Economic Society, vol. 10(2), pages 123-132, May.
    16. van den Bergh, Jeroen C.J.M., 2008. "Environmental regulation of households: An empirical review of economic and psychological factors," Ecological Economics, Elsevier, vol. 66(4), pages 559-574, July.
    17. Scott J. Callan & Janet M. Thomas, 2006. "Analyzing Demand For Disposal And Recycling Services: A Systems Approach," Eastern Economic Journal, Eastern Economic Association, vol. 32(2), pages 221-240, Spring.
    18. Paul Missios & Ida Ferrara, 2016. "Reduce, Reuse or Recycle? Household Decisions over Waste Prevention and Recycling," Working Papers 065, Ryerson University, Department of Economics.
    19. De Silva, Lihini & Taylor, Rebecca, 2021. "If you build it, they will compost: The effects of municipal composting services on household waste generation," 2021 Annual Meeting, August 1-3, Austin, Texas 313874, Agricultural and Applied Economics Association.
    20. Marie Briguglio, 2016. "Household Cooperation In Waste Management: Initial Conditions And Intervention," Journal of Economic Surveys, Wiley Blackwell, vol. 30(3), pages 497-525, July.
    21. Usui, Takehiro, 2008. "Estimating the effect of unit-based pricing in the presence of sample selection bias under Japanese Recycling Law," Ecological Economics, Elsevier, vol. 66(2-3), pages 282-288, June.
    22. Jenkins, Robin R. & Martinez, Salvador A. & Palmer, Karen & Podolsky, Michael J., 2003. "The determinants of household recycling: a material-specific analysis of recycling program features and unit pricing," Journal of Environmental Economics and Management, Elsevier, vol. 45(2), pages 294-318, March.
    23. Ida Ferrara & Paul Missios, 2012. "A Cross-Country Study of Household Waste Prevention and Recycling: Assessing the Effectiveness of Policy Instruments," Land Economics, University of Wisconsin Press, vol. 88(4), pages 710-744.
    24. Ferrara, Ida & Missios, Paul, 2011. "A Cross-Country Study of Household Waste Prevention and Recycling: Assessing the Effective of Policy Instruments," MPRA Paper 70811, University Library of Munich, Germany.
    25. Valente, Marica, 2023. "Policy evaluation of waste pricing programs using heterogeneous causal effect estimation," Journal of Environmental Economics and Management, Elsevier, vol. 117(C).

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