Abstract
With the development of e-commerce industry, the express enterprises are growing up rapidly. At the same time, they produce a large amount of express packaging garbage. The recycling of express packages has become an important issue for environment protection. In this paper, three types of possible policies are discussed for consideration: subsidy, penalty, and tax reduction. We analyze the efficiency of each policy and find the conditions under which the express packaging manufacturers prefer to recycle and reprocess the used products. A two-stage model is established from the perspective of manufacturers to discuss the production and recycling strategies under the three policies. Besides, we suggest an optimal choice between subsidy and tax reduction for the government when the budget is fixed. This paper provides guidelines for the government to improve related policies on promoting the recycling of express packages.
Highlights
In recent years, the express industry grows up rapidly with the development of e-commerce
The goals of environment protection and prosperous markets can be attained with suitable parameters of the tax rate ξ and the discount rate φ
We consider three types of policies applied to the express packaging industry, including subsidy, penalty, and tax reduction
Summary
The express industry grows up rapidly with the development of e-commerce. In China, the express industry took more than 40 billion express orders in 2017, and only about 10% of express packages are recycled and reused [7] These disposable materials lead to serious solid wastes and white pollution. The German industry set up a “dual system” of waste collection, which picked up household packaging in parallel to the existed municipal waste-collection systems This system greatly facilitates the recycling of packaging materials produced by manufacturers [10]. Duan et al [7] suggested that the government should consider to establish producer responsibilities to encourage express service providers to recycle packaging waste. This paper provides guidelines for the government to improve related policies on promoting the recycling of express packages.
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