Online Supplement to 'An Analysis of Voluntary Recycled Content Claims Under Demand Benefit and Uncertain Recycled Input Supply'

Abstract

This is an online supplement containing proofs of key lemmas and theorems for "An Analysis of Voluntary Recycled Content Claims Under Demand Benefit and Uncertain Recycled Input Supply", where we focus on the problem of choosing the optimal recycled content claim under stochastic local recycled content availability under two claim types - period specific (when claims have to hold each period) and average (when claims are evaluated across periods). We show the optimum sourcing and batch mix for both claims, conditions under which specific claims are higher than average claims, and explore cases where the optimal claims and profits are aligned to be in the same direction.