Privatization, cooperation and costs of solid waste services in small towns
Germà Bel (),
Xavier Fageda and
Melania Mur ()
Additional contact information
Melania Mur: University of Zaragoza
No 201111, IREA Working Papers from University of Barcelona, Research Institute of Applied Economics
This paper analyzes the cost implications of privatization and cooperation in the provision of solid waste services for a sample of small municipalities. In conducting this empirical analysis, a survey is first designed and administered to municipalities in the Spanish region of Aragon, and then an estimation of the determinants of service costs is undertaken, considering the possible endogeneity of delivery choices. Our findings indicate that cooperation is more effective than privatization in saving costs. Both production forms can enable small municipalities to cut costs by exploiting scale economies. However, the fact that inter-municipal cooperation involves lower transaction costs and is less likely to be affected by competition problems would seem to account for the fact that it is a more effective way of reducing costs.
Keywords: Privatization; cooperation; costs; solid waste. JEL classification:L33; R51; H72. (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-env and nep-reg
Date: 2011-07, Revised 2011-07
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1) Track citations by RSS feed
Downloads: (external link)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:ira:wpaper:201111
Access Statistics for this paper
More papers in IREA Working Papers from University of Barcelona, Research Institute of Applied Economics Contact information at EDIRC.
Bibliographic data for series maintained by Alicia García ().