This study aims to explore the impact of regional green economies and communities on global sustainability. This study attempts to show if the empirical results align with the regional sustainable development policy and practices.
Empirical analyses are conducted through time-varying correlations, structural break tests and volatility modeling. As a public health indicator, the community variable is proxied by the daily COVID-19 cases.
According to the results, the US green economy and global sustainability relationship exhibit a greater variety than that of Europe and Asia regions. Volatility modeling reveals that green economies are significant variables for each region in accounting for the changes in global sustainability. Europe and Asia have the highest and lowest effects in this interaction, respectively. The results are consistent with the carbon emission statistics of the regions studied and the government’s efforts to promote sustainable development. Furthermore, this study supports the efforts of the European Union to tackle climate and environmental issues, as well as create a resource-efficient economy and truly prosperous society.
This study presents empirical findings concerning global sustainability by providing evidence from three regions. The outcomes on the extent of regional contribution to global sustainability may lead the policymakers to develop new strategies in the management of turmoil periods such as a pandemic.
