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On the economics of bottle deposits

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dc.creator Eggert, Wolfgang
dc.creator Weichenrieder, Alfons J.
dc.date 2004
dc.date.accessioned 2013-10-16T07:01:48Z
dc.date.available 2013-10-16T07:01:48Z
dc.date.issued 2013-10-16
dc.identifier http://hdl.handle.net/10419/18882
dc.identifier ppn:393482855
dc.identifier.uri http://koha.mediu.edu.my:8181/xmlui/handle/10419/18882
dc.description Deposit systems for one-way beverage containers are widely supported by green activists and have been implemented in several countries. This paper analyzes whether such deposit systems can optimally internalize the externalities that result when consumers dump these containers. It is shown that two major problems arise in a competitive market. First, the proceeds from bottle deposits tend to reduce the price of beverages in a competitive environment and therefore lead to a departure from a first best allocation. Second, the system usually requires producers and vendors to run a system for taking back and recycling used containers, whose cost vendors can only partly shift to consumers who return their bottles. While a deposit system alone is never optimal, the paper proposes tax-deposit systems that can implement a first-best allocation.
dc.language eng
dc.publisher
dc.relation CESifo working papers 1243
dc.rights http://www.econstor.eu/dspace/Nutzungsbedingungen
dc.subject H21
dc.subject Q20
dc.subject H23
dc.subject ddc:330
dc.subject Getränkeverpackung
dc.subject Verpackungs-Recycling
dc.subject Internalisierung externer Effekte
dc.subject Theorie
dc.title On the economics of bottle deposits
dc.type doc-type:workingPaper


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