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Does garbage pricing increase the immoral disposal of household waste?

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  • Takehiro Usui
  • Mitsuko Chikasada
  • Kazuhiko Kakamu

Abstract

Some empirical studies have attempted to clarify the mechanism of illegal dumping by examining the degree to which per-bag pricing plays a role. However, previous research on the behaviour of avoiding paying a charge for waste collection has tended to neglect so-called ‘immoral disposal,’ which is less risky than illegal dumping because there is no legal penalty. In this study, we define immoral disposal as the dumping of waste in a manner that is immoral but not illegal. To detect the existence of immoral disposal, we apply a spatial econometric approach, namely an extended panel spatial Durbin model, to identify the actual spillover effect of garbage pricing in neighbouring municipalities on immoral disposal from the total waste. A major finding of this study is that immoral disposal exists in unit-based pricing, two-tiered pricing, and fixed pricing.

Suggested Citation

  • Takehiro Usui & Mitsuko Chikasada & Kazuhiko Kakamu, 2017. "Does garbage pricing increase the immoral disposal of household waste?," Applied Economics, Taylor & Francis Journals, vol. 49(38), pages 3829-3840, August.
  • Handle: RePEc:taf:applec:v:49:y:2017:i:38:p:3829-3840
    DOI: 10.1080/00036846.2016.1270414
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    Cited by:

    1. Li, Ye & Yang, Tianjian & Zhang, Yu, 2022. "Evolutionary game theory-based system dynamics modeling for community solid waste classification in China," Utilities Policy, Elsevier, vol. 79(C).

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