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A Cybernetics Approach and Autoregressive Distributed Lag Econometric Exploration of Romania’s Circular Economy

Author

Listed:
  • Irina Georgescu

    (Department of Economic Informatics and Cybernetics, Bucharest University of Economic Studies, 0105552 Bucharest, Romania)

  • Ionuț Nica

    (Department of Economic Informatics and Cybernetics, Bucharest University of Economic Studies, 0105552 Bucharest, Romania)

  • Camelia Delcea

    (Department of Economic Informatics and Cybernetics, Bucharest University of Economic Studies, 0105552 Bucharest, Romania)

  • Cristian Ciurea

    (Department of Economic Informatics and Cybernetics, Bucharest University of Economic Studies, 0105552 Bucharest, Romania)

  • Nora Chiriță

    (Department of Economic Informatics and Cybernetics, Bucharest University of Economic Studies, 0105552 Bucharest, Romania)

Abstract

The purpose of this study, which adopts a cybernetics systems approach, is to analyze the circular economy landscape in Romania. It investigates the role of circular economy practices in the country’s endeavors to combat climate change and minimize its environmental footprint. Using data spanning from 2000 to 2022, we applied the autoregressive distributed lag (ARDL) model to examine the interdependence between C O 2 emissions and key factors, such as GDP per capita, the recycling rate of municipal waste, and the generation of municipal waste per capita. Our findings suggest that the implementation of sustainable development strategies in Romania has successfully decoupled economic growth from environmental sustainability. This study introduces novelty by approaching the ARDL analysis through the integration of circular economy principles into a cybernetics system. This perspective contributes to informed decision making and the establishment of efficient tactical, operational, and strategic directions. Our results indicate that, in the long run, both the recycling rate of municipal waste and the generation of municipal waste per capita positively influence C O 2 emissions, while GDP per capita has a negative impact. Variance decomposition and impulse response functions were employed to assess the explanatory variables’ influence on C O 2 emissions and their effectiveness in explaining temporal fluctuations.

Suggested Citation

  • Irina Georgescu & Ionuț Nica & Camelia Delcea & Cristian Ciurea & Nora Chiriță, 2024. "A Cybernetics Approach and Autoregressive Distributed Lag Econometric Exploration of Romania’s Circular Economy," Sustainability, MDPI, vol. 16(18), pages 1-26, September.
    • Handle: RePEc:gam:jsusta:v:16:y:2024:i:18:p:8248-:d:1483172
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    References listed on IDEAS

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    3. Burlacu Sorin & Bran Florina & Rădulescu Carmen Valentina & Bodislav Dumitru Alexandru, 2022. "The circular economy - Romania’s paradigm from the perspective of EU principles and directions for 2050," Proceedings of the International Conference on Business Excellence, Sciendo, vol. 16(1), pages 278-284, August.
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