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Environmental protection via optimal global economic restructuring.

Alexander Vaninsky¹

¹City University of New York, Hostos Community College, United States.

|April 24, 2019

Summary

This study presents a method for enhancing global economic environmental efficiency through optimal restructuring. It guides nations toward sustainable growth by balancing energy conservation and greenhouse gas reduction.

Keywords:

Energy-environmental efficiency International trade and cooperation Optimal economic restructuring Stochastic Data Envelopment Analysis with Perfect Object Stochastic data envelopment analysis Systems of differential-algebraic equations

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Area of Science:

Environmental Economics
Sustainable Development
Economic Modeling

Background:

Global economic activities face increasing pressure from energy consumption and greenhouse gas emissions.
There is a critical need for strategies that reconcile economic growth with environmental sustainability.
Current economic models often struggle to integrate energy conservation and emissions mitigation effectively.

Purpose of the Study:

To propose an approach for managing the global economy's environmental efficiency via optimal economic restructuring.
To guide national economies in achieving energy-environmental efficiency that supports economic growth while mitigating greenhouse gases and conserving energy.
To provide a framework for international cooperation and trade that fosters sustainable economic development.

Main Methods:

Utilized a novel stochastic data envelopment analysis with a perfect object method (SDEA-PO).
Derived a system of differential-algebraic equations to determine optimal structural change trajectories.
Focused on harmonizing modifications in output per capita, renewable energy use, and emission intensity reductions.

Main Results:

Identified a pathway for structural change in national economies to enhance global energy-environmental efficiency.
Demonstrated how economic restructuring, international cooperation, and trade can lead to improved environmental performance.
Quantified the potential for increasing energy-environmental efficiency through specific economic adjustments.

Conclusions:

The proposed method offers a novel approach to guide the optimal economic restructuring of the global economy.
The model provides actionable guidance for achieving energy-environmentally friendly economic restructuring.
Implementing the recommended course of action can lead to a more sustainable global economic system.