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Towards circular economy indicators: Evidence from the European Union
Idiano D'Adamo1, Daniele Favari2, Massimo Gastaldi3
1Department of Computer, Control and Management Engineering, Sapienza University of Rome, Rome, Italy.
Summary
The European Union
Area of Science:
- Environmental Science
- Economics
- Policy Studies
Background:
- The European Union (EU) is transitioning towards sustainable development, emphasizing circular economy (CE) models.
- Circular economy models aim to reduce natural resource pressure, create jobs, and foster economic growth.
- Indicators and multi-criteria decision analysis (MCDA) are crucial for monitoring CE performance.
Purpose of the Study:
- To assess the circular economy performance of EU27 countries in 2019-2020 using 15 Eurostat CE indicators.
- To identify key drivers of circularity and rank EU countries based on their CE performance.
- To highlight barriers hindering the widespread adoption of circular economy models in Europe.
Main Methods:
- Utilized multi-criteria decision analysis (MCDA), specifically the Analytic Hierarchy Process (AHP).
- Analyzed 15 circular economy indicators from Eurostat for EU27 countries (2019-2020).
- Compared baseline and alternative scenarios to evaluate country performance.
Main Results:
- The 'competitiveness and innovation' and 'global sustainability and resilience' categories significantly influence overall circularity.
- Belgium demonstrated the highest CE performance, followed by Italy and the Netherlands.
- Western European countries generally outperform Eastern European nations in circular economy adoption.
Conclusions:
- Key barriers to CE development include illegal waste management, insufficient investment in circular technologies, and inequitable value distribution.
- Implementing circularity-based resource management can help Europe achieve sustainability goals and reduce reliance on imported raw materials.
- Targeted policies are needed to overcome identified barriers and promote a more circular economy across the EU.
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