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Efficacy of Landfill Tax and Subsidy Policies for the Emergence of Industrial Symbiosis Networks: An Agent-Based Simulation Study

Author

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  • Luca Fraccascia

    () (Department of Mechanics, Mathematics, and Management, Politecnico di Bari, Viale Japigia 182, 70126 Bari, Italy)

  • Ilaria Giannoccaro

    () (Department of Mechanics, Mathematics, and Management, Politecnico di Bari, Viale Japigia 182, 70126 Bari, Italy)

  • Vito Albino

    () (Department of Mechanics, Mathematics, and Management, Politecnico di Bari, Viale Japigia 182, 70126 Bari, Italy)

Abstract

Despite the theoretical value of industrial symbiosis (IS), this approach appears to be underdeveloped in terms of practical applications. Different attempts to stimulate IS in practice are noticed, one of them consisting in the application of adequate policy measures. This paper explores the efficacy of two specific policies (landfill tax and economic subsidy for IS exchanges) in supporting the emergence of self-organized industrial symbiosis networks (ISNs). We frame the ISNs as complex adaptive systems and we design an agent-based model to simulate their emergence. We use a real case study and, by means of the simulation model, we assess how the two policy measures are able to enhance the formation of spontaneous IS relationships, thereby forcing the emergence of the ISN. Results show that both policy measures have a positive effect in all scenarios considered, but the extent is strictly dependent on the environmental conditions in which IS relationships occur. The economic implications for the government are finally discussed.

Suggested Citation

  • Luca Fraccascia & Ilaria Giannoccaro & Vito Albino, 2017. "Efficacy of Landfill Tax and Subsidy Policies for the Emergence of Industrial Symbiosis Networks: An Agent-Based Simulation Study," Sustainability, MDPI, Open Access Journal, vol. 9(4), pages 1-18, March.
  • Handle: RePEc:gam:jsusta:v:9:y:2017:i:4:p:521-:d:94536
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    References listed on IDEAS

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    Cited by:

    1. Yazan, Devrim Murat & Fraccascia, Luca & Mes, Martijn & Zijm, Henk, 2018. "Cooperation in manure-based biogas production networks: An agent-based modeling approach," Applied Energy, Elsevier, vol. 212(C), pages 820-833.
    2. Linda Ponta & Silvano Cincotti, 2018. "Traders’ Networks of Interactions and Structural Properties of Financial Markets: An Agent-Based Approach," Complexity, Hindawi, vol. 2018, pages 1-9, January.
    3. Devrim Murat Yazan & Vahid Yazdanpanah & Luca Fraccascia, 2020. "Learning strategic cooperative behavior in industrial symbiosis: A game‐theoretic approach integrated with agent‐based simulation," Business Strategy and the Environment, Wiley Blackwell, vol. 29(5), pages 2078-2091, July.
    4. Fraccascia, Luca, 2019. "The impact of technical and economic disruptions in industrial symbiosis relationships: An enterprise input-output approach," International Journal of Production Economics, Elsevier, vol. 213(C), pages 161-174.
    5. Angela Neves & Radu Godina & Susana G. Azevedo & Carina Pimentel & João C.O. Matias, 2019. "The Potential of Industrial Symbiosis: Case Analysis and Main Drivers and Barriers to Its Implementation," Sustainability, MDPI, Open Access Journal, vol. 11(24), pages 1-68, December.
    6. Luca Fraccascia & Vahid Yazdanpanah & Guido Capelleveen & Devrim Murat Yazan, 0. "Energy-based industrial symbiosis: a literature review for circular energy transition," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 0, pages 1-35.
    7. Angela Neves & Radu Godina & Susana G. Azevedo & João C. O. Matias, 2019. "Current Status, Emerging Challenges, and Future Prospects of Industrial Symbiosis in Portugal," Sustainability, MDPI, Open Access Journal, vol. 11(19), pages 1-23, October.
    8. Fraccascia, Luca & Yazan, Devrim Murat & Albino, Vito & Zijm, Henk, 2020. "The role of redundancy in industrial symbiotic business development: A theoretical framework explored by agent-based simulation," International Journal of Production Economics, Elsevier, vol. 221(C).
    9. Hua Cui & Changhao Liu & Raymond Côté & Weifeng Liu, 2018. "Understanding the Evolution of Industrial Symbiosis with a System Dynamics Model: A Case Study of Hai Hua Industrial Symbiosis, China," Sustainability, MDPI, Open Access Journal, vol. 10(11), pages 1-25, October.
    10. J. Raimbault & J. Broere & M. Somveille & J. M. Serna & E. Strombom & C. Moore & B. Zhu & L. Sugar, 2020. "A spatial agent based model for simulating and optimizing networked eco-industrial systems," Papers 2003.14133, arXiv.org.
    11. Miguel A. Artacho-Ramírez & Bélgica Pacheco-Blanco & Víctor A. Cloquell-Ballester & Mónica Vicent & Irina Celades, 2020. "Quick Wins Workshop and Companies Profiling to Analyze Industrial Symbiosis Potential. Valenciaport’s Cluster as Case Study," Sustainability, MDPI, Open Access Journal, vol. 12(18), pages 1-21, September.

    More about this item

    Keywords

    industrial symbiosis; self-organized industrial symbiosis networks; self-organization and emergence; policy measures; agent-based simulation; enterprise input-output approach;

    JEL classification:

    • Q - Agricultural and Natural Resource Economics; Environmental and Ecological Economics
    • Q0 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General
    • Q2 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation
    • Q3 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation
    • Q5 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products

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