Advertisement

An Economic Analysis of the Waste and Recycling Policy of Japan and Taiwan

  • Hideyuki AkaishiEmail author
Article

Abstract

Over the past two decades, waste generation has increased at a rate similar to economic advances and caused serious environmental problems in many industrialized countries. These problems include the shortage of landfill sites, harmful substances from waste incineration facilities, and environmental risks such as air, water, and soil contamination from landfill sites and illegal dumping. In order to deal with these problems, the authorities have tried to intervene using a variety of waste management policies. Since the 1990s, they have strengthened the 3R (Reduce, Reuse, and Recycle) framework by treating waste as a valuable resource. In this way, Japan is steadily implementing approaches toward the establishment of a Sound Material-Cycle Society (hereafter SMS). To establish the SMS, various laws have been enforced to build systems of waste disposal and recycling concerning a variety of products: household appliances, automobiles, and personal computers for example. However, recycling policies for the same type of product widely vary among countries. Since its various policies have an influence on the establishment of the SMS, we need to research recycling policies among countries from an economic point of view.

Thus the purpose of this paper is to make an economic analysis of waste and recycling policy among countries. In particular, we address the personal computer recycling systems of Japan and Taiwan and make a policy evaluation of these systems from the viewpoint of social welfare. Our analysis shows two main results as follows. First social welfare cannot be maximized under the Japanese system. Second there is a possibility that social welfare is maximized under the Taiwanese system depending on the behavior of Resource Management Funds.

Key words

Recycling Waste Waste management policy 

JEL Classification

Q53 Q56 

Preview

Unable to display preview. Download preview PDF.

Unable to display preview. Download preview PDF.

References

  1. Dinan, Terry M. 1993. “Economic Efficiency Effects of Alternative Policies for Reducing Waste Disposal.” Journal of Environmental Economic and Management, 25: 242–256.CrossRefGoogle Scholar
  2. Eichner, T. 2006. “Imperfect Competition in the Recycling Industry.” Metroeconomica, 56(1): 1–24.CrossRefGoogle Scholar
  3. Fan, Kuo-Shuh., Chun-Hsu. Lin., and Tien-Chin. Chang. 2005. “Management and Performance of Taiwan’s Waste Recycling Fund.” Journal of Air & Waste Management Association, 574–582.Google Scholar
  4. Fullerton, D. and A. Wolverton. 2000. “Two Generalizations of a Deposit-Refund System.” American Economic Review, 90(2): 238–242.CrossRefGoogle Scholar
  5. Lee, Ching-Hwa., Ssu-Li. Chang., King-Min. Wang., and Lih- Chyi. Wen. 2000. “Management of scrap computer recycling in Taiwan.” Journal of Hazardous Materials, A73: 209–220.CrossRefGoogle Scholar
  6. Palmer, K. and M. Walls. 1997. Optimal Policies for solid disposal: Taxes, subsidies, and standards. Journal of Public Economics, 65: 193–205.CrossRefGoogle Scholar
  7. Wen, Lih-Chyi. 2004. “Exploring Determinant Factors for an Extended Producer Responsibility Program in Taiwan: A case study of IT products.” Unpublished LUMS Master Thesis.Google Scholar
  8. Wen, Lih-Chyi. 2006. A Study of Effectiveness of the Recycling Management Fund System in Taiwan. 2006 Third World Congress of Environmental and Resource Economists, Kyoto, July. 3–7.Google Scholar

Copyright information

© Japan Economic Policy Association (JEPA) 2008

Authors and Affiliations

  1. 1.Graduate School of Social Studies, Major of EconomicsHosei UniversityJapan

Personalised recommendations