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QUESTION 7 Solid waste (i.e., trash) collection in the U.S. is produced by both private and public firms. Operating more trucks appear to have little
QUESTION 7 Solid waste (i.e., trash) collection in the U.S. is produced by both private and public firms. Operating more trucks appear to have little impact on lowering costs meaning there (are/are not) significant economies of scale from increasing fixed costs. We would therefore expect to see (small/large) fleets of trucks in the average city. Greater population density, however, allows for multiple pickups from a single neighborhood causing costs to fall significantly, meaning there (are/are not) significant economies of scale from population density and we would therefore expect to see contracts allowing (a single/multiple) firm(s) to collect trash in sub-city areas (i.e., neighborhoods). By (forbidding/allowing) overlapping routes we would expect average costs of refuse collection to be minimized
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