How is single stream recycling separated?

It is sorted mechanically at a Materials Recovery Facility (MRF). The methods employed include air currents, eddy currents, magnets, optical sorters, and other means. Once separated, it is sold off to manufacturers who use recycled material in their products.

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1. Do I have to sort my recycling?
2. What is accepted at the Recycling Center?
3. Can you recycle your recyclables in plastic bags?
4. Do my recyclables get thrown away at the landfill?
5. How is single stream recycling separated?