Why dont private garbage haulers provide their customers with a unit-pricing option? Unit pricing refers to paying
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Why don’t private garbage haulers provide their customers with a unit-pricing option? Unit pricing refers to paying for garbage disposal by the bag rather than in a lump sum. The lump-sum pricing system in effect generates a subsidy from small to large garbage producers. A ‘‘smart’’ garbage firm could offer a unit-pricing scheme to small garbage producers. By getting rid of (dumping?) its large garbage customers, the firm could service more customers per trip to the landfill and generate a higher profit margin.
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