Resource dependence, recycling, and trade
研究了回收利用如何减少对稀缺原生材料的依赖，并分析了资源贫富国家间贸易中回收与资源开采的扭曲及政策干预。
Recycling waste from used goods can substitute for scarce virgin materials and reduce resource dependence. We present a model of waste collection, recycling, and final goods production using virgin and recycled materials. Environmentally safe disposal of trash (non-recycled waste) requires costly processing by landfill and burning which creates externalities. Trade between resource poor and resource rich countries involves non-trivial interactions between terms of trade effects and distortions in recycling and resource extraction. We analyze welfare improving policy intervention with local trash disposal and with trade in trash.