Although many government programs are concentrated on recycling at home, a large portion of waste is generated by industry. The focus of many recycling programs done by industry is the cost-effectiveness of recycling. The ubiquitous nature of cardboard packaging makes cardboard a commonly recycled waste product by companies that deal heavily in packaged goods, like retail stores, warehouses, and distributors of goods. Other industries deal in niche or specialized products, depending on the nature of the waste materials that are present.
The amount of money actually saved through recycling depends on the efficiency of the recycling program used to do it. The Institute for Local Self-Reliance argues that the cost of recycling depends on various factors around a community that recycles, such as landfill fees and the amount of disposal that the community recycles. It states that communities start to save money when they treat recycling as a replacement for their traditional waste system rather than an add-on to it and by "redesigning their collection schedules and/or trucks."
Fiscal efficiency is separate from economic efficiency. Economic analysis of recycling includes what economists call externalities, which are unpriced costs and benefits that accrue to individuals outside of private transactions. Examples include: decreased air pollution and greenhouse gases from incineration, reduced hazardous waste leaching from landfills, reduced energy consumption, and reduced waste and resource consumption, which leads to a reduction in environmentally damaging mining and timber activity. About 4,000 minerals are known, of these only a few hundred minerals in the world are relatively common. At current rates, current known reserves of phosphorus will be depleted in the next 50 to 100 years. Without mechanisms such as taxes or subsidies to internalize externalities, businesses will ignore them despite the costs imposed on society. To make such nonfiscal benefits economically relevant, advocates have pushed for legislative action to increase the demand for recycled materials. The United States Environmental Protection Agency (EPA) has concluded in favor of recycling, saying that recycling efforts reduced the country's carbon emissions by a net 49 million metric tonnes in 2005. In the United Kingdom, the Waste and Resources Action Programme stated that Great Britain's recycling efforts reduce CO2 emissions by 10–15 million tonnes a year. Recycling is more efficient in densely populated areas, as there are economies of scale involved.
Levels of metals recycling are generally low. In 2010, the International Resource Panel, hosted by the United Nations Environment Programme (UNEP) published reports on metal stocks that exist within society and their recycling rates. The Panel reported that the increase in the use of metals during the 20th and into the 21st century has led to a substantial shift in metal stocks from below ground to use in applications within society above ground. For example, the in-use stock of copper in the USA grew from 73 to 238 kg per capita between 1932 and 1999.
The Energy Information Administration (EIA) states on its website that a paper mill uses 40 percent less energy to make paper from recycled paper than it does to make paper from fresh lumber. Some critics argue that it takes more energy to produce recycled products than it does to dispose of them in traditional landfill methods, since the curbside collection of recyclables often requires a second waste truck. However, recycling proponents point out that a second timber or logging truck is eliminated when paper is collected for recycling, so the net energy consumption is the same. An Emergy life-cycle analysis on recycling revealed that fly ash, aluminum, recycled concrete aggregate, recycled plastic, and steel yield higher efficiency ratios, whereas the recycling of lumber generates the lowest recycle benefit ratio. Hence, the specific nature of the recycling process, the methods used to analyse the process, and the products involved affect the energy savings budgets.