ABSTRACT
This chapter examines the reason for current waste and recycling policies are sometimes badly implemented as a result of policy decisions in China. Sawada and Xu examined the multiple policy decisions under PSTS with an economic model that captures the hierarchical structure of officials promotions. Under the RCR, the central government has inserted a strict standard for evaluating social stability into the PSTS. The official i distributes the policy budget B for economic growth and environmental improvement. At the same time, a lower distribution of funds for economic growth decreases private benefits, and profits at the Nash equilibrium also decrease. With greater responsibility, officials are forced to distribute more funds to environmental improvement to succeed in being promoted. The way in which policies will be viewed when an official is evaluated for promotion is often considered by the official to be more important than how the policies work.
