The Costs of Disposal and Recycling. An Application to Italian Municipal Solid Waste Services
The paper investigates the costs of waste disposal and recycling services by using a well-behaved Composite cost function model. Our estimates on a unique sample of more than 500 Italian municipalities highlight that the refuse collection technology exhibits constant returns to scale as well as scope economies between disposal and recycling. As far as the size of the municipality increases, scope economies rise up to 14%, but they are accompanied with overall diseconomies of scale. Our findings suggest that, on the one hand, joint management of disposal and recycling should be encouraged, and, on the other hand, that strategies aimed at increasing the share of waste sent for recycling would not imply a considerable increase in total costs.
|Date of creation:||Jun 2011|
|Contact details of provider:|| Postal: Corso Unione Sovietica, 218/bis - 10134 TORINO|
Phone: +39 011 670.6129
Fax: +39 011 670.6062
Web page: http://www.biblioecon.unito.it/biblioservizi/
More information through EDIRC
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.:
- Cambini Carlo & Filippini Massimo & Piacenza Massimiliano & Vannoni Davide, 2011. "Corporatization and Firm Performance: Evidence from Publicly-Provided Local Utilities," Review of Law & Economics, De Gruyter, vol. 7(1), pages 191-213, July.
- Germa Bel & Anton Costas, 2006. "Do Public Sector Reforms Get Rusty? Local Privatization in Spain," Journal of Economic Policy Reform, Taylor & Francis Journals, vol. 9(1), pages 1-24.
- Ohlsson, Henry, 1998.
"Ownership and Production Costs - Choosing Between Public Production and Contracting Out,"
Working Paper Series
1998:6, Uppsala University, Department of Economics.
- Henry Ohlsson, 2003. "Ownership and Production Costs: Choosing between Public Production and Contracting-Out in the Case of Swedish Refuse Collection," Fiscal Studies, Institute for Fiscal Studies, vol. 24(4), pages 451-476, December.
- Ohlsson, H., 1998. "Ownership and Production Costs Choosing Between Public Production and Contracting Out," Papers 1998-6, Uppsala - Working Paper Series.
- Wayne Carroll, 1995. "The Organization and Efficiency of Residential Recycling Services," Eastern Economic Journal, Eastern Economic Association, vol. 21(2), pages 215-225, Spring.
- Barbara Antonioli & Massimo Filippini, 2002. "Optimal Size in the Waste Collection Sector," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 20(3), pages 239-252, May.
- Eoin Reeves & Michael Barrow, 2000. "The Impact of Contracting Out on the Costs of Refuse Collection Services - The Case of Ireland," The Economic and Social Review, Economic and Social Studies, vol. 31(2), pages 129-150.
- Vuong, Quang H, 1989. "Likelihood Ratio Tests for Model Selection and Non-nested Hypotheses," Econometrica, Econometric Society, vol. 57(2), pages 307-33, March.
- Elbert Dijkgraaf & Raymond Gradus, 2004.
"Cost savings of contracting out refuse collection,"
- Piacenza, Massimiliano & Vannoni, Davide, 2004. "Choosing among alternative cost function specifications: an application to Italian multi-utilities," Economics Letters, Elsevier, vol. 82(3), pages 415-422, March.
- E. Dijkgraaf & R. H. J. M. Gradus, 2005. "Collusion in the Dutch waste collection market," Industrial Organization 0502006, EconWPA.
- Ohlsson, H., 1995.
"Ownership and Input Prices a Comparison of Public and Private Entreprises,"
1995-08, Uppsala - Working Paper Series.
- Ohlsson, Henry, 1996. "Ownership and input prices: A comparison of public and private enterprises," Economics Letters, Elsevier, vol. 53(1), pages 33-38, October.
- McElroy, Marjorie B., 1977. "Goodness of fit for seemingly unrelated regressions : Glahn's R2y.x and Hooper's r2," Journal of Econometrics, Elsevier, vol. 6(3), pages 381-387, November.
- Baumol, William J, 1982. "Contestable Markets: An Uprising in the Theory of Industry Structure," American Economic Review, American Economic Association, vol. 72(1), pages 1-15, March.
- Germà Bel & Xavier Fageda & Mildred E. Warner, 2010.
"Is private production of public services cheaper than public production? A meta-regression analysis of solid waste and water services,"
Journal of Policy Analysis and Management,
John Wiley & Sons, Ltd., vol. 29(3), pages 553-577.
- Bel Germà & Fageda Xavier & E. Mildred, 2014. "Is private production of public services cheaper than public production? A meta-regression analysis of solid waste and water services," Public administration issues, Higher School of Economics, issue 3, pages 103-140.
- Germà Bel & Xavier Fageda & Mildred E. Warner, 2009. "Is Private Production of Public Services Cheaper than Public Production? A meta-regression analysis of solid waste and water services," IREA Working Papers 200923, University of Barcelona, Research Institute of Applied Economics, revised Oct 2009.
- Piacenza, Massimiliano & Turati, Gilberto & Vannoni, Davide, 2010. "Restructuring hospital industry to control public health care expenditure: The role of input substitutability," Economic Modelling, Elsevier, vol. 27(4), pages 881-890, July.
- Pulley, Lawrence B & Braunstein, Yale M, 1992. "A Composite Cost Function for Multiproduct Firms with an Application to Economies of Scope in Banking," The Review of Economics and Statistics, MIT Press, vol. 74(2), pages 221-30, May.
- Stevens, Barbara J, 1978. "Scale, Market Structure, and the Cost of Refuse Collection," The Review of Economics and Statistics, MIT Press, vol. 60(3), pages 438-48, August.
- Thomas C. Kinnaman, 2006. "Policy Watch: Examining the Justification for Residential Recycling," Journal of Economic Perspectives, American Economic Association, vol. 20(4), pages 219-232, Fall.
- Scott J. Callan & Janet M. Thomas, 2001. "Economies of Scale and Scope: A Cost Analysis of Municipal Solid Waste Services," Land Economics, University of Wisconsin Press, vol. 77(4), pages 548-560.
When requesting a correction, please mention this item's handle: RePEc:tur:wpaper:20. 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: (Simone Pellegrino)
If references are entirely missing, you can add them using this form.