Sustainable Development Indicators and Economic Growth: Evidence from Seven Strategic Emerging Economies (2002-2023)

Abstract

This study investigates the nexus between sustainable development indicators and economic growth across seven strategic emerging economies: China, Turkey, Brazil, Malaysia, Iran, Egypt, and Argentina, from the period 2002 to 2023. Utilizing panel data regression analysis, the Random Effects model was identified as the most appropriate estimation method based on rigorous statistical criteria. The empirical results reveal that R&D expenditures, health expenditures, the renewable energy share, and CO2 emissions exert a positive and significant influence on GDP. In contrast, education expenditures were found to have a negative and statistically insignificant effect on growth. This study emphasizes the necessity of supporting vital sectors, such as agriculture and industry, while simultaneously adopting effective environmental policies to reduce emissions and ensure long-term sustainable development goals in the analyzed countries.