Green Policy-Driven Closed-Loop Supply Chain for Recycling of Economically-Disadvantaged Recycled Materials
Journal
臺大管理論叢
Journal Volume
27
Journal Issue
2
Pages
163-183
Date Issued
2017
Author(s)
陳彥銘
Abstract
This paper investigates an effectiveness problem in the enactment of environmental policies aimed at profitless recycling of economically-disadvantaged recycled materials (EDRMs). After thorough analysis, a policy instrument has been proposed. The arguments are established from a closed-loop supply chain model in a multiplayer hierarchical Stackelberg game, manifesting interactions between competing manufacturers, suppliers of virgin and recycled materials, and the government. Analytical results indicate that a tax-subsidy system is effective because this policy improves the profits of all parties involved in the recycling system. We suggest that governments should involve in the recycling practice of profitless materials.
Type
journal article