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Beverage bottles were recycled with a refundable deposit at some drink manufacturers in Great Britain and Ireland around 1800, notably Schweppes. An official recycling system with refundable deposits was established in Sweden for bottles in 1884 and aluminium beverage cans in 1982, by law, leading to a recycling rate for beverage containers of 84–99 percent depending on type, and average use of a glass bottle is over 20 refills.

 

However, comparing the market cost of recyclable material with the cost of new raw materials ignores economic externalities—the costs that are currently not counted by the market. Creating a new piece of plastic, for instance, may cause more pollution and be less sustainable than recycling a similar piece of plastic, but these factors will not be counted in market cost. A life cycle assessment can be used to determine the levels of externalities and decide whether the recycling may be worthwhile despite unfavorable market costs. Alternatively, legal means (such as a carbon tax) can be used to bring externalities into the market, so that the market cost of the material becomes close to the true cost.

In 2003, the city of Santa Clarita, California, was paying $28 per ton to put garbage into a landfill. The city then adopted a mandatory diaper-recycling program that cost $1,800 per ton.[citation needed]

Beverage bottles were recycled with a refundable deposit at some drink manufacturers in Great Britain and Ireland around 1800, notably Schweppes. An official recycling system with refundable deposits was established in Sweden for bottles in 1884 and aluminium beverage cans in 1982, by law, leading to a recycling rate for beverage containers of 84–99 percent depending on type, and average use of a glass bottle is over 20 refills.

 

In the strictest sense, recycling of a material would produce a fresh supply of the same material—for example, used office paper would be converted into new office paper, or used foamed polystyrene into new polystyrene. However, this is often difficult or too expensive (compared with producing the same product from raw materials or other sources), so "recycling" of many products or materials involves their reuse in producing different materials (e.g., paperboard) instead. Another form of recycling is the salvage of certain materials from complex products, either due to their intrinsic value (e.g., lead from car batteries, or gold from computer components), or due to their hazardous nature (e.g., removal and reuse of mercury from various items). Critics dispute the net economic and environmental benefits of recycling over its costs, and suggest that proponents of recycling often make matters worse and suffer from confirmation bias. Specifically, critics argue that the costs and energy used in collection and transportation detract from (and outweigh) the costs and energy saved in the production process; also that the jobs produced by the recycling industry can be a poor trade for the jobs lost in logging, mining, and other industries associated with virgin production; and that materials such as paper pulp can only be recycled a few times before material degradation prevents further recycling. Proponents of recycling dispute each of these claims, and the validity of arguments from both sides has led to enduring controversy.

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