IDEAS home Printed from https://ideas.repec.org/p/een/eenhrr/1097.html
   My bibliography  Save this paper

Willingness to pay for kerbside recycling the Brisbane Region

Author

Listed:
  • Robert Gillespie

    (Gillespie Economics, a resource and environmental economics consultancy practice)

  • Jeff Bennett

    (Crawford School of Public Policy, The Australian National University)

Abstract

Waste policy in Australia has a strong focus on kerbside recycling. This has a range of costs and benefits to the community, including non-market benefits. However, in Australia, there has been little investigation of household willingness to pay for kerbside recycling. This paper used mixed logit choice modelling to estimate the willingness to pay of households in Brisbane, Australia for kerbside waste collection services including kerbside recycling. It was found that households in Brisbane have a positive and significant willingness to pay of $131.49 per annum for fortnightly kerbside recycling and would be willing to pay an additional $18.30 to increase the frequency of this service to weekly. The utility of respondents was, however, found to decline by $34.18 per year if general waste collection increased from weekly to twice a week. Based on the assumptions used in this study it would appear that the willingness to pay for kerbside recycling exceeds the net financial costs of this service, suggesting that the scheme is economically efficient. However, the reported economic values for recycling may overstate the community’s true willingness to pay if household responses to the choice questions were confounded by their underlying perceptions about the environmental and resource sustainability benefits of recycling

Suggested Citation

  • Robert Gillespie & Jeff Bennett, 2011. "Willingness to pay for kerbside recycling the Brisbane Region," Environmental Economics Research Hub Research Reports 1097, Environmental Economics Research Hub, Crawford School of Public Policy, The Australian National University.
    • Handle: RePEc:een:eenhrr:1097
    as

    Download full text from publisher

    File URL: https://crawford.anu.edu.au/research_units/eerh/pdf/EERH_RR97.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Greene, William H. & Hensher, David A., 2007. "Heteroscedastic control for random coefficients and error components in mixed logit," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 43(5), pages 610-623, September.
    2. Nick Hanley & Robert Wright & Vic Adamowicz, 1998. "Using Choice Experiments to Value the Environment," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 11(3), pages 413-428, April.
    3. Scarpa, Riccardo & Rose, John M., 2008. "Design efficiency for non-market valuation with choice modelling: how to measure it, what to report and why," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 52(3), pages 1-30.
    4. Daniel McFadden & Kenneth Train, 2000. "Mixed MNL models for discrete response," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 15(5), pages 447-470.
    5. Train,Kenneth E., 2009. "Discrete Choice Methods with Simulation," Cambridge Books, Cambridge University Press, number 9780521747387, October.
    6. Hoehn, John P. & Randall, Alan, 1987. "A satisfactory benefit cost indicator from contingent valuation," Journal of Environmental Economics and Management, Elsevier, vol. 14(3), pages 226-247, September.
    7. David Hensher & William Greene, 2003. "The Mixed Logit model: The state of practice," Transportation, Springer, vol. 30(2), pages 133-176, May.
    8. Riccardo Scarpa & Kenneth G. Willis & Melinda Acutt, 2007. "Valuing externalities from water supply: Status quo, choice complexity and individual random effects in panel kernel logit analysis of choice experiments," Journal of Environmental Planning and Management, Taylor & Francis Journals, vol. 50(4), pages 449-466.
    9. David Revelt & Kenneth Train, 1998. "Mixed Logit With Repeated Choices: Households' Choices Of Appliance Efficiency Level," The Review of Economics and Statistics, MIT Press, vol. 80(4), pages 647-657, November.
    10. Kelvin J. Lancaster, 1966. "A New Approach to Consumer Theory," Journal of Political Economy, University of Chicago Press, vol. 74(2), pages 132-132.
    11. Boyer, Tracy A., 2006. "Talking Trash: Valuing Household Preferences for Garbage and Recycling Services Bundles Using a Discrete Choice Experiment," 2006 Annual meeting, July 23-26, Long Beach, CA 21074, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    12. Krinsky, Itzhak & Robb, A Leslie, 1986. "On Approximating the Statistical Properties of Elasticities," The Review of Economics and Statistics, MIT Press, vol. 68(4), pages 715-719, November.
    13. Jeff Bennett & Russell Blamey (ed.), 2001. "The Choice Modelling Approach to Environmental Valuation," Books, Edward Elgar Publishing, number 2028.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Struk, Michal, 2017. "Distance and incentives matter: The separation of recyclable municipal waste," Resources, Conservation & Recycling, Elsevier, vol. 122(C), pages 155-162.
    2. Sarah Yanyue Yu, 2021. "An In Medias Res Economic Cost‐Benefit Analysis of ACT Container Deposit Scheme," Economic Papers, The Economic Society of Australia, vol. 40(1), pages 78-90, March.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Haghani, Milad & Bliemer, Michiel C.J. & Hensher, David A., 2021. "The landscape of econometric discrete choice modelling research," Journal of choice modelling, Elsevier, vol. 40(C).
    2. Czajkowski, Mikołaj & Bartczak, Anna & Giergiczny, Marek & Navrud, Stale & Żylicz, Tomasz, 2014. "Providing preference-based support for forest ecosystem service management," Forest Policy and Economics, Elsevier, vol. 39(C), pages 1-12.
    3. Gillespie Rob & Kragt Marit E., 2012. "Accounting for Nonmarket Impacts in a Benefit-Cost Analysis of Underground Coal Mining in New South Wales, Australia," Journal of Benefit-Cost Analysis, De Gruyter, vol. 3(2), pages 1-29, May.
    4. Marit E. Kragt & J.W. Bennett, 2011. "Using choice experiments to value catchment and estuary health in Tasmania with individual preference heterogeneity," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 55(2), pages 159-179, April.
    5. Alejandra R. Enríquez & Angel Bujosa Bestard, 2020. "Measuring the economic impact of climate-induced environmental changes on sun-and-beach tourism," Climatic Change, Springer, vol. 160(2), pages 203-217, May.
    6. Faustin, Vidogbèna & Adégbidi, Anselme A. & Garnett, Stephen T. & Koudandé, Delphin O. & Agbo, Valentin & Zander, Kerstin K., 2010. "Peace, health or fortune?: Preferences for chicken traits in rural Benin," Ecological Economics, Elsevier, vol. 69(9), pages 1848-1857, July.
    7. Mikołaj Czajkowski & Anna Bartczak & Marek Giergiczny & Stale Navrud & Tomasz Żylicz, 2013. "Providing Preference-Based Support for Forest Ecosystem Service Management in Poland," Working Papers 2013-05, Faculty of Economic Sciences, University of Warsaw.
    8. Marit Kragt & Jeffrey Bennett, 2012. "Attribute Framing in Choice Experiments: How Do Attribute Level Descriptions Affect Value Estimates?," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 51(1), pages 43-59, January.
    9. de Ayala, Amaia & Hoyos, David & Mariel, Petr, 2015. "Suitability of discrete choice experiments for landscape management under the European Landscape Convention," Journal of Forest Economics, Elsevier, vol. 21(2), pages 79-96.
    10. Kragt, Marit Ellen, 2013. "Comparing models of unobserved heterogeneity in environmental choice experiments," 2013 Conference (57th), February 5-8, 2013, Sydney, Australia 152198, Australian Agricultural and Resource Economics Society.
    11. Sobolewski, Maciej & Czajkowski, MikoŁaj, 2012. "Network effects and preference heterogeneity in the case of mobile telecommunications markets," Telecommunications Policy, Elsevier, vol. 36(3), pages 197-211.
    12. Ortega, David L. & Wang, H. Holly & Wu, Laping & Hong, Soo Jeong, 2015. "Retail channel and consumer demand for food quality in China," China Economic Review, Elsevier, vol. 36(C), pages 359-366.
    13. Carole Ropars-Collet & Philippe Goffe & Qods Lefnatsa, 2021. "Does catch-and-release increase the recreational value of rivers? The case of salmon fishing," Review of Agricultural, Food and Environmental Studies, Springer, vol. 102(4), pages 393-424, December.
    14. Norton, Daniel & Hynes, Stephen, 2014. "Valuing the non-market benefits arising from the implementation of the EU Marine Strategy Framework Directive," Ecosystem Services, Elsevier, vol. 10(C), pages 84-96.
    15. Rombach, Meike & Widmar, Nicole Olynk & Byrd, Elizabeth & Bitsch, Vera, 2018. "Do all roses smell equally sweet? Willingness to pay for flower attributes in specialized retail settings by German consumers," Journal of Retailing and Consumer Services, Elsevier, vol. 40(C), pages 91-99.
    16. Wan Norhidayah W Mohamad & Ken Willis & Neil Powe, 2019. "The Status Quo In Discrete Choice Experiments: Is It Relevant?," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 65(02), pages 507-532, March.
    17. Kragt, Marit Ellen & Bennett, Jeffrey W., 2009. "Using Choice Experiments to value River and Estuary Health in Tasmania with Individual Preference Heterogeneity," Research Reports 94816, Australian National University, Environmental Economics Research Hub.
    18. Abildtrup, Jens & Garcia, Serge & Olsen, Søren Bøye & Stenger, Anne, 2013. "Spatial preference heterogeneity in forest recreation," Ecological Economics, Elsevier, vol. 92(C), pages 67-77.
    19. Hynes, S. & Ankamah-Yeboah, I. & O’Neill, S. & Needham, K. & Bich Xuan, B. & Armstrong, C., 2020. "Entropy balancing for causal effects in discrete choice analysis: The Blue Planet II effect," Working Papers 309500, National University of Ireland, Galway, Socio-Economic Marine Research Unit.
    20. Campbell, Danny & Hutchinson, W. George & Scarpa, Riccardo, 2006. "Lexicographic Preferences in Discrete Choice Experiments: Consequences on Individual-Specific Willingness to Pay Estimates," Sustainability Indicators and Environmental Valuation Working Papers 12224, Fondazione Eni Enrico Mattei (FEEM).

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:een:eenhrr:1097. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: CAP Web Team (email available below). General contact details of provider: https://edirc.repec.org/data/asanuau.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.