Garbage and Recycling with Endogenous Local Policy
Posted: 28 Sep 2001
Abstract
This paper estimates the impact of garbage fees and curbside recycling programs on garbage and recycling amounts. Without correction for endogenous policy, a price per bag of garbage has a negative effect on garbage and a positive cross-price effect on recycling. Correction for endogenous local policy increases the effect of the user fee on garbage and the effect of curbside recycling collection on recycling. Introducing a fee of $1 per bag is estimated to reduce garbage by 412 pounds per person per year (44%), but to increase recycling by only 30 pounds per person per year.
Suggested Citation: Suggested Citation
Kinnaman, Thomas C. and Fullerton, Don, Garbage and Recycling with Endogenous Local Policy. Available at SSRN: https://ssrn.com/abstract=246756
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