Prosperity with a purpose
Välstånd med ett syfte
Abstract
In the current landscape, policymakers are confronted with a formidable task: striking the delicate
equilibrium between ongoing economic growth and a sustainable transition. This dilemma forces a difficult
trade-off in various sectors, where the pursuit of sustainability often entails sacrifices and compromises with
regard to economic growth. The intricate interplay between these two objectives underscores the complexity
of the challenges faced by policymakers in charting a path forward. This study explores the interplay between
sustainable development goals and economic growth in OECD member countries. Using the data throughout
2000–2021, a panel data estimation method is adopted with sophisticated econometric approaches. The
findings challenge conventional wisdom and shed light on the complex relationships between economic, social,
and environmental indicators. Notably, the obtained results identify a positive long-term impact when
countries prioritize basic needs and services, including effective governance, social equality and empowerment,
robust infrastructure, and transformative innovation. Remarkably, the analysis also uncovers a contrasting
effect of natural resource conservation and management on economic growth in developed countries. These
findings underscore the need for governments and associated policymakers to prioritize social development,
human development, and innovation as drivers of sustainable economic growth. By doing so, policymakers can
not only foster prosperity but also mitigate ecological footprints and ensure the preservation of natural
resources.
Degree
Student essay
View/ Open
Date
2023-08-22Author
Bengtsson, Ebba
Landström, Lilian
Keywords
Panel data
SDG index
Environmental impact
Economic growth
Series/Report no.
202308:221
Language
eng