Toward Waste Management Contracts

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2014

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Stéphanie Le Maitre et al., « Toward Waste Management Contracts », HAL-SHS : économie et finance, ID : 10670/1.djwee4


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This paper deals with the cost of treatment of final waste, that is waste which cannot, in the absence of recycling opportunities, be reduced by any appropriate tax scheme. The authors propose a new way to handle this waste based on Waste Management Contracts (WMC) which largely involve households in the cost reduction process. Within a set of feasible (i.e. budget budget-balancing, incentive-compatible and acceptable) contracts, the study characterizes the optimal WMC and compare this system with a more standard one based on a combination of advance and per-bag disposal fees.

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