A review of international econometrics studies on the pros and cons of privatization and semi-privatization waste collection suggests full privatization can cause more headaches than it’s worth. The review of decades’ worth of studies concludes there is no empirical evidence to support the claim that privatizing waste collection services is more cost efficient. The academic literature points to two key factors that end up being costly for governments who fully privatize waste collection: lack of competition in the waste collection sector and large, often unaccounted for administrative costs required to deal with private firms.
Assessing Privatized and Semi-Privatized Waste Collection
June 4, 2015