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Original scientific paper

https://doi.org/10.2478/zireb-2019-0019

Eco-innovation and Economic Growth in the European Union

Ana Andabaka orcid id orcid.org/0000-0003-2596-0561 ; Faculty of Economics and Business, University of Zagreb, Zagreb, Croatia
Martina Basarac Sertić orcid id orcid.org/0000-0003-4182-8405 ; Economic Research Division, Croatian Academy of Sciences and Arts, Zagreb, Croatia
Martina Harc orcid id orcid.org/0000-0002-7207-9032 ; Institute for Scientific and Artistic Work in Osijek, Croatian Academy of Sciences and Arts, Osijek, Croatia


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Abstract

Eco-innovation, as a new concept, and green technologies are central to the Europe’s future and at the core of the European Union policies to boost competitiveness, create jobs, and generate sustainable growth for years to come. In this context, eco-innovation is a significant tool that combines decreased environmental impact with a positive socioeconomic impact. This paper highlights the prominent role of eco-innovation and investigates still scarcely explored impact assessment of GDP growth, quality of institutions, and recycling rates on the eco-innovation index in the 28 European Union member states. Specifically, the set of regression analyses that use panel estimation models was undertaken and the system GMM estimator with robust standard errors was used. Econometric analysis indicates that GDP growth rate, quality of institutions, and recycling rate of municipal waste had a statistically significant and positive effect on eco-innovation in the period 2010-2016.

Keywords

circular economy; decoupling; eco-innovation; European Union; panel data analysis

Hrčak ID:

228939

URI

https://hrcak.srce.hr/228939

Publication date:

30.11.2019.

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