Assessing How Educational Attainment Drives Economic Freedom, Urbanization, and Mineral Resource Management in Eastern Europe

Mining has significantly shaped Eastern European economies, particularly during their transition from centrally planned to market-oriented systems. While abundant natural resources can lead to a “resource curse” that hinders economic growth, they also offer opportunities for sustainable development if managed effectively. This study investigates the dynamics of mineral resource rents in Eastern Europe, shaped by economic freedom, urbanization, educational achievement, and international trade, from 1990 to 2021. Using methods such as MMQR, AMG Robustness Analysis, CCEMG, fixed effects, cointegration, Granger causality, and unit root tests, the study provides a comprehensive analysis of these relationships. The findings reveal that educational achievement reduces reliance on mineral resource rents by fostering human capital and supporting economic diversification. Urbanization similarly decreases resource dependency by promoting innovation and technological advancement. Trade openness also shows a negative link with mineral rents, suggesting that global integration facilitates shifts toward more advanced, technology-driven sectors. Economic freedom presents mixed results, highlighting the need for strong governance to ensure sustainable and equitable outcomes. This study is novel in integrating these factors into a unified framework, specifically applied to Eastern Europe’s post-communist transition, a region often overlooked in global resource studies. The results contribute most directly to Sustainable Development Goal 4 on Quality Education by demonstrating how human capital development reduces resource dependence and promotes economic resilience, and to Sustainable Development Goal 8 on Decent Work and Economic Growth, by showing that trade openness and economic diversification can drive sustainable economic progress. Ultimately, the study offers actionable insights for balancing economic growth with environmental and social sustainability in transitional economies.