ABSTRACT
This chapter reviews the literature regarding economic models for waste management and recycling. It also focuses on the issues such as the collection of the waste, the construction of waste disposal and recycling facilities, and the optimal policies for pollution associated with waste disposal and recycling activities. Used goods and product parts consist of various types of materials that can be extracted under certain economic conditions. For example, electrical and electronic equipment contains nonferrous metals such as gold, silver, and copper, among others. Resource potential is an attribute by which substances, after they are properly treated, contribute to production by positive marginal productivity. Pollution potential may not be realized if substances with the potential are treated in a proper way. Waste collection schemes, including the deposit-refund system (DRS), play an important role in promoting the proper disposal of waste and the production of higher-quality recyclables. Given less inconvenience of accumulation, the household might make less effort to reduce waste.
