3. Economic Analysis
The economic evaluation of costs and benefits is an application of the economy of welfare and therefore includes the measurement of economic and social aspects [31]. In the case discussed in this article is necessary to point out that the suggestion of the use of RFID technology in the reverse logistics WEEE is actually a persistent market failure correction strategy, even though prevailing Law 12305/2010 in Brazil.
The low cost of disposing unduly WEEE anywhere, especially by consumers, makes room for a significant divergence between the private cost and the social cost. Once implemented RL such marginal costs, denoted respectively by PMgC and SMgC grow significantly, reducing, however the private and social marginal benefits, denoted respectively by PMgB and SMgB.
The introduction of RFID technology adds a private marginal cost, denoted by MgRFIDC, very small - as previously mentioned - and constant and in another way enables a reduction of environmental damage due to the more efficient control of the WEEE management.