Impact of sustainable development on economic growth: Evidence from OECD countries

The purpose of the research is to estimate and evaluate the association amongst Sustainable Development and Financial growth in the OECD nations.

The study adopts the Conservational Kuznets Curve hypothesis as an approach to pact with the effect of Sustainable Development on Trade and Industry growth. For this a delineated setting of fifty-three statistics of sustainability given by Global Reporting Initiative on the thirty-five member countries of OECD focusing on the aspects like "materials", "energy", "biodiversity", "emissions, effluents and waste", "economic performance", "market presence", "labor practices and decent work performance indicators ". The study also aims to investigate the link between exhaustive list of sustainable indicators listed by Commission on SD and the GDP growth of the member economies of OECD over a period of fifteen years. For this a panel data regression analysis during 2004–2020 for thirty-five member countries of OECD has been employed. Also, another model is made to understand the relationship between Ecological Sustainable Development and Fiscal Growth.

The conservational hypothesis (Kuznets curve) describes the connection amongst ecological sustainability and monetary development. It is found that there is a correlation amongst monetary development and environmental education following the Kuznets curve. The result proposes that the conformist policies in the developed countries center more on the pollution control and supports the policies concentrating on environmental proficiency characteristics of sustainable development during the procedure of monetary expansion.

The outcomes contribute to the literature by presenting the coexistence of monetary development and sustainability. This study provides insights into the policymakers and economist during the decisions on monetary advancement.