Arbeitspapier

Resource Dependence, Recycling, and Trade

Recycling waste from used goods can substitute for scarce raw materials and reduce resource dependence. This paper presents a model of waste collection, recycling and final goods production using raw and recycled materials. Non-recycled waste must be safely stored by landfill to avoid environmental damage. The costs of waste disposal create externalities. An optimal allocation requires a trash tax to make producers pay for the costs of waste disposal, and an input subsidy to recycling firms to compensate for the savings in disposal costs. We study trade between resource poor economies exporting final goods, and resource rich countries exporting raw materials. We find rich welfare effects of trade policy with non-trivial interactions between terms of trade effects and distortions in recycling and resource extraction.

Sprache
Englisch

Erschienen in
Series: CESifo Working Paper ; No. 10553

Klassifikation
Wirtschaft
Externalities
Exhaustible Resources and Economic Development
Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
Trade and Environment
Thema
waste
recycling
externalities
resource dependence
trade

Ereignis
Geistige Schöpfung
(wer)
Egger, Peter H.
Keuschnigg, Christian
Ereignis
Veröffentlichung
(wer)
Center for Economic Studies and ifo Institute (CESifo)
(wo)
Munich
(wann)
2023

Handle
Letzte Aktualisierung
10.03.2025, 11:44 MEZ

Datenpartner

Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Arbeitspapier

Beteiligte

  • Egger, Peter H.
  • Keuschnigg, Christian
  • Center for Economic Studies and ifo Institute (CESifo)

Entstanden

  • 2023

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