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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. Copyright 1998 Western Economic Association International.

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
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    References listed on IDEAS

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    1. Fullerton Don & Kinnaman Thomas C., 1995. "Garbage, Recycling, and Illicit Burning or Dumping," Journal of Environmental Economics and Management, Elsevier, vol. 29(1), pages 78-91, July.
    2. Marie Lynn Miranda & Jess W. Everett & Daniel Blume & Barbeau A. Roy, 1994. "Market-based incentives and residential municipal solid waste," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 13(4), pages 681-698.
    3. Hong Seonghoon & Adams Richard M. & Love H. Alan, 1993. "An Economic Analysis of Household Recycling of Solid Wastes: The Case of Portland, Oregon," Journal of Environmental Economics and Management, Elsevier, vol. 25(2), pages 136-146, September.
    4. James D. Reschovsky & Sarah E. Stone, 1994. "Market incentives to encourage household waste recycling: Paying for what you throw away," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 13(1), pages 120-139.
    5. Atkinson, Scott & Tietenberg, Tom, 1991. "Market failure in incentive-based regulation: The case of emissions trading," Journal of Environmental Economics and Management, Elsevier, vol. 21(1), pages 17-31, July.
    6. G. Strathman & Anthony M. Rufolo & Gerard C. S. Mildner, 1995. "The Demand for Solid Waste Disposal," Land Economics, University of Wisconsin Press, vol. 71(1), pages 57-64.
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    Cited by:

    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, pages 245-271.
    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 Fullterton, 1999. "The Economics of Residential Solid Waste Management," NBER Working Papers 7326, National Bureau of Economic Research, Inc.
    5. 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.
    6. 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), University of Nice Sophia Antipolis, revised Aug 2017.
    7. 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.
    8. 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.
    9. Brian Chi-ang Lin & Siqi Zheng & 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. 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.
    11. 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.
    12. 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, Oxford University Press, vol. 15(1), pages 110-155.
    13. 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.
    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. repec:kap:iaecre:v:10:y:2004:i:2:p:123-132 is not listed on IDEAS
    17. 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.
    18. 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.
    19. 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," Discussion Papers dp-99-41-rev, Resources For the Future.
    20. Paul Missios & Ida Ferrara, 2016. "Reduce, Reuse or Recycle? Household Decisions over Waste Prevention and Recycling," Working Papers 065, Ryerson University, Department of Economics.

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