Essay

Evaluating Policy Proposals for a Public Service

A city is struggling with low participation in its voluntary curbside recycling program. Currently, participation is encouraged through informational flyers. Two new proposals are on the table to increase recycling rates:

Proposal 1: Offer a small, weekly monetary reward (e.g., a $1 credit on their utility bill) to households that consistently put out their recycling bins.

Proposal 2: Introduce a 'neighborhood leaderboard' system, where the recycling participation rate of each neighborhood is published weekly, and the 'greenest' neighborhood is publicly recognized in the local newsletter.

Based on your understanding of how different types of incentives can affect behavior, which proposal do you predict would be more effective and sustainable for increasing recycling rates in the long term? Justify your choice by analyzing the potential psychological impact of each incentive on residents' motivations.

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Updated 2025-07-18

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Economics

Economy

Introduction to Microeconomics Course

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