Effect of Unit Pricing System on Household Waste Reduction - Panel Data Analysis of 71 municipalities -

Abstract

 The effect of unit pricing system on household waste reduction was analyzed and confirmed using a panel data on 71 municipalities in Japan during the period 1998-2006. It was estimated that the amount of combustible waste collected would be reduced by 45 g/capita-day if the price of bags for combustible waste were increased by 1 Yen/L. Availability of smaller size (<15L) prepaid bags had significant effect on the reduction of combustible waste. Availability of more than four sizes of prepaid bags had significant effect on the reduction of combustible waste compared to the availability of two or three sizes of prepaid bags. Differences between the price of bags for combustible waste and those for incombustible waste or recyclable waste had significant effects on the amount of combustible waste and recyclable waste. On the other hand, the effects of average price of combustible bags, incombustible bags and recyclable bags on the amount of combustible waste and recyclable waste were insignificant.