Sustainable Development: Economic, Social, and Environmental Sustainability in Asian Economies

Abstract

The major aim of this study is to analyze relationship between social, economic, and environmental sustainability. Panel analysis is carried out for nineteen Asian economies, which are divided into three subgroups ; South Asia, Southeast Asia, and Central & East Asia. To draw empirical evidences meta-system has been utilized. Results divulge a trade-off between economic and environmental sustainability when all countries are considered. Whilst, in the case of sub-regions no such trade-off is apparent. Furthermore, interactions between economic, social, and environmental sustainability is statistically significant. It implies that these factors are interdependent and affect each other. Thus, the allocation of scarce financial resources should seek convergence between economic, social, and environmental sustainability dimensions of sustainable development. The empirical evidences also indicated that Globalization has a negative impact on environmental sustainability in South Asia, while its impact was positive in Southeast and Central & East Asian regions. Social inclusiveness has a positive relationship with social sustainability, while, technological change has a positive impact on economic sustainability, in all regions of Asia. Thus, these factors may act as transmission channels to achieve sustainable development in the region and should be the focus of economic policies.