Research On The Incentive Model Of Government Subsidy Policy In The Classified Garbage Recycling Of Urban Household Garbage In China

The rapid growth of urban household garbage has already become the trickiestproblem faced by cities of various countries in the world. In order to seek the most effective solutions,western countries have attached importance to researches on classification recycling of urban household garbage since the 1960s and the 1970s and established a waste management system with classification recycling and management of garbage as the objective. In the past decade,the Chinese economy was growing rapidly. The large-scale industrialization leads to the fast urbanization development and as a result, the municipal garbage yield has experienced a sharp increase. Thus, the effective classification recycling of urban household garbage is of great significance. The work of classification recycling of urban household garbage cannot be operated under the market mechanism. The government should introduce some policies and guidelines to resolve the externality,encourage the enterprises and the public to operate the work of the classification recycling of urban household garbage .The focus of this paper is on the problems of incentive mechanism in the policy-making of classification recycling of urban household garbage.Subsidy incentive mechanism researches are the starting point of this paper. The target of this research is using the agent-theory to building the policy analysis framework which can reveal the economic mechanism of the government subsidies policy design. This framework can be used to theoretically support the practical operation in government subsidies incentive mechanism in the work of classification recycling of urban household garbage in China and improve the performance of the government subsidies incentive. By researching the practice and policy-making of government subsidies incentive in the work of classification recycling of urban household garbage in recent years, referring to relevant research achievements and practical experience at home and abroad about government subsidy policies, the nature and necessity of government subsidies incentive policy are deeply discussed, the economic mechanism that how subsidies incentive policy effect the classification recycling of urban household garbage is analysis, the theories and methods of government subsidies incentive policy design in the condition of information asymmetric are researched. After all the analysis, discussions and researches, the safeguard measures to the government subsidies incentive mechanism of classification recycling of urban household garbage in China are proposed. With these safeguard measures, government can use resource reasonably,correct the market failure, optimize resource allocation,make the subsidies incentive mechanism play a greater effects, make the work of classification recycling of urban household garbage carry out efficiently.