Environmental and Resource Policy for Consumer Durables

1 Introduction.- 2 Definitions, Assumptions and Basic Model.- 2.1 Modeling Consumer Durables.- 2.1.1 Durable versus Nondurable Goods.- 2.1.2 Decay function of Consumer Durables.- 2.1.3 Vintage Durable Goods.- 2.2 Basic Oligopoly Model without Pollution.- 2.2.1 Model Description and Market Equilibrium.- 2.2.2 Stationary State.- 2.2.3 Comparative Statics of the Long Run Market Equilibrium.- 3 Regulating Production Emissions of Consumer Durables.- 3.1 The Model of Goering and Boyce (1999).- 3.1.1 Model Descriptionand Market Equilibrium.- 3.1.2 Market Equilibrium Revised.- 3.1.3 Second-Best Emissions Taxation.- 3.1.4 Second-Best Emissions Taxation Revised.- 3.2 Modified Model with Production Emissions.- 3.2.1 Model Description and First-Best Welfare Optimum.- 3.2.2 Market Equilibrium and Laissez Faire.- 3.2.3 First-Best Regulation.- 3.2.4 Second-Best Taxation.- 3.3 Practicability of Durable Goods Regulation.- 4 Regulating Solid Waste of Consumer Durables.- 4.1 Durable Goods Markets with Commitment Ability of Producers.- 4.1.1 Model and Social Welfare Optimum.- 4.1.2 Market Equilibrium and Laissez Faire.- 4.1.3 First-Best Regulation.- 4.1.4 Second-Best Taxation.- 4.2 Durable Goods Markets without Commitment Ability of Producers.- 4.2.1 Model and Social Welfare Optimum.- 4.2.2 Market Equilibrium and Laissez Faire.- 4.2.3 First-Best Regulation.- 4.2.4 Second-Best Taxation.- 4.3 Implications for Practical Waste Policy.- 5 Recycling Policies for Consumer Durables.- 5.1 Durable Goods Markets with Exogenous Product Durability.- 5.1.1 Model and Efficient Allocation.- 5.1.2 Benchmark Market System.- 5.1.3 Market Failure and its Correction.- 5.2 Durable Goods Markets with Endogenous Product Durability.- 5.2.1 Model and Efficient Allocation.- 5.2.2 Benchmark Market System.- 5.2.3 Market Failure and its Correction.- 5.3 Summary and Practical Considerations.- 6 Conclusion.- References.- List of Figures.- List of Tables.