The economics of recycling as premise of circular economy: from govermental support to functional markets

Abstract

Environment covers a number of stages within the material loop that allow industrial development and value creation. Holding the resource for a long while, concentrating some materials, decomposing others are processes that exceed the limits of industrial activity. A better use of materials is a mandatory requirement of sustainable development. Closed loops of material streams are the most common vision in this respect. Despite the innovative technological solutions, a functional market for major material streams is still struggling to emerge. Using a case study for one of the most dynamic waste streams – electric and electronic equipment (WEEE) – there are indicated critical factors that impact on the businesses of the WEEE value chain. A better understanding of how these factors influence the businesses of all involved players could bring important improvements in policy making toward a circular economy based on a functional market.