The impact of economic, social, and political globalization with economic complexity on ecosystem vitality: the case of the UK
Journal cover Society Register, volume 9, no. 3, year 2025
PDF

Keywords

Ecosystem vitality
economic complexity
globalization
renewable energy
economic growth

Number of views: 131


Number of downloads: 54

Abstract

This paper explores the effects of economic complexity and globalization in different economic, social, and political development aspects on ecosystem vitality within the United Kingdom, covering 1995-2023. The study used FMOLS cointegration regression and Impulse Response Function analyses on two empirical models composed of linear and nonlinear components. The analysis shows a positive impact of growth complexity and ecosystem vitality. This relationship may be driven by technological innovation and improved resource efficiency. Economic globalization has a negative impact on ecosystems, while social and political globalization has a positive effect. In addition, we examine how GDP per capita, population density, education level, energy consumption, and renewable energy influence ecosystem vitality. An early rise in GDP per capita positively affects ecosystem vitality, but this effect turns negative after reaching a certain threshold. Population density and energy use have adverse effects on ecosystem vitality, while renewable energy, together with higher levels of education, have positive impacts on ecosystem vitality. These findings suggest that integrated policies aimed at reconciling such aspects as economic complexity, globalization, and other socio-economic factors are required to ensure that the ecology remains sustainable despite development processes occurring in the economy. They stress the significance of continuous interventions for maintaining environmental benefits.

https://doi.org/10.14746/sr.2025.9.3.02
PDF

References

Aerni, P. (2021). Decentralized economic complexity in Switzerland and its contribution to inclusive and sustainable change. Sustainability, 13(8), 4181. DOI: https://doi.org/10.3390/su13084181

Aggarwal, R. (2006). Globalization, local ecosystems, and the rural poor. World Development, 34(8), 1405-1418. DOI: https://doi.org/10.1016/j.worlddev.2005.10.011

Arnaut, M. & Dada, J. T. (2023). Exploring the nexus between economic complexity, energy consumption and ecological footprint: new insights from the UAE. International Journal of Energy Sector Management, 17(6), 1137-1160. DOI: https://doi.org/10.1108/IJESM-06-2022-0015

Baranowski, M., Jabkowski, P., & Kammen, D. M. (2025). Minerals will shape future geopolitical order. Nature, 640, 38. DOI: https://doi.org/10.1038/d41586-025-01006-1

Bezák, P. & Lyytimäki, J. (2011). Complexity of urban ecosystem services in the context of global change. Ekologia, 30(1), 22-35. DOI: https://doi.org/10.4149/ekol_2011_01_22

El-Massah, S. & Hassanein, E. A. (2023). Economic development and environmental sustainability in the GCC Countries: New Insights Based on the Economic Complexity. Sustainability, 15(10), 7987. DOI: https://doi.org/10.3390/su15107987

Fan, L., Usman, M., Haseeb, M., & Kamal, M. (2024). The impact of financial development and energy consumption on ecological footprint in economic complexity-based EKC framework: New Evidence from BRICS-T Region. Natural Resources Forum, 49(2), 1536-1559. DOI: https://doi.org/10.1111/1477-8947.12448

Gong, Y., Ji, X., Zhang, Y. T., & Cheng, S. (2023). Spatial vitality evaluation and coupling regulation mechanism of a complex ecosystem in Lixiahe Plain based on multi-source data. Sustainability, 15(3), 2141. DOI: https://doi.org/10.3390/su15032141

Grossman, G. M. & Krueger, A. B. (1995). Economic growth and the environment. The Quarterly Journal of Economics, 110(2), 353-377. DOI: https://doi.org/10.2307/2118443

He, K., Ramzan, M., Awosusi, A. A., Ahmed, Z., Ahmad, M., & Altuntaş, M. (2021). Does globalization moderate the effect of economic complexity on CO2 emissions? Evidence from the top 10 energy transition economies. Frontiers in Environmental Science, 9, 778088. DOI: https://doi.org/10.3389/fenvs.2021.778088

Hidalgo, C. A. & Hausmann, R. (2009). The building blocks of economic complexity. Proceedings of the National Academy of Sciences, 106(26), 10570-10575. DOI: https://doi.org/10.1073/pnas.0900943106

Karaduman, C. (2021). The Effects of economic globalization and productivity on environmental quality: evidence from newly industrialized countries. Environmental Science and Pollution Research, 29, 639-652. DOI: https://doi.org/10.1007/s11356-021-15717-1

Karimzadeh, M., Delgarm, A., Sasouli, M. R., & Eidouzehi, E. T. (2023). Effect of economic complexity on CO2 emission: a selection of Shanghai Cooperation Organization member countries. Polish Journal of Environmental Studies, 32(6), 5641-5650. DOI: https://doi.org/10.15244/pjoes/168428

Kochtcheeva, L. V. (2022). Globalization and the environment: economic changes and challenges. In P. G. Harris (Ed.), Routledge Handbook of Global Environmental Politics (pp. 322-335). London and New York: Routledge. DOI: https://doi.org/10.4324/9781003008873-28

Kovács, O. (2022). Complexity Economics: Economic Governance, Science and Policy. London: Routledge. DOI: https://doi.org/10.4324/9781003288398

Lee, C. C., Chen, M. P., & Wu W. (2022). The criticality of tourism development, economic complexity, and country security on ecological footprint. Environmental Science and Pollution Research, 29, 37004-37040. DOI: https://doi.org/10.1007/s11356-022-18499-2

Lee, C. C. & Olasehinde-Williams, G. (2022). Does economic complexity influence environmental performance? Empirical evidence from OECD countries. International Journal of Finance & Economics, 29(1), 356-382. DOI: https://doi.org/10.1002/ijfe.2689

Neagu, O. (2020). Economic complexity and ecological footprint: Evidence from the most complex economies in the world. Sustainability, 12(21), 9031. DOI: https://doi.org/10.3390/su12219031

Qayyum, M., Yu, Y., & Li, S. (2021). The impact of economic complexity on embodied carbon emission in trade: new empirical evidence from cross-country panel data. Environmental Science and Pollution Research, 28, 54015-54029. DOI: https://doi.org/10.1007/s11356-021-14414-3

Raihan, A. (2023). A review on the integrative approach for economic valuation of forest ecosystem services. Journal of Environmental Science and Economics, 2(3), 1-18. DOI: https://doi.org/10.56556/jescae.v2i3.554

Randhir, T. O. (2016). Globalization impacts on local commons: Multiscale strategies for socioeconomic and ecological resilience. The International Journal of the Commons, 10(2), 387-404. DOI: https://doi.org/10.18352/ijc.517

Sarmah, B. & Mahanta, R. (2025). Assessing the inter-linkage between ecosystem services and livelihood assets: case study of Deepor Beel Ramsar site in Assam, India. Society Register, 9(2), 35-50. DOI: https://doi.org/10.14746/sr.2025.9.2.02

Satrovic, E. & Adedoyin, F. F. (2022). An empirical assessment of electricity consumption and environmental degradation in the presence of economic complexities. Environmental Science and Pollution Research, 29, 78330-78344. DOI: https://doi.org/10.1007/s11356-022-21099-9

Tausch, A. & Heshmati, A. (2018). The effects of globalization on the environment. UKH Journal of Social Sciences, 2(1), 25-40. DOI: https://doi.org/10.25079/ukhjss.v2n1y2018.pp25-40

World Commission on Environment and Development. (1987). Our common future. Oxford: Oxford University Press.

Xu, X., Yang, G., Tan, Y., Liu, J., & Hu, H. (2018). Ecosystem services trade-offs and determinants in China's Yangtze River Economic Belt from 2000 to 2015. The Science of the Total Environment, 634, 1601-1614. DOI: https://doi.org/10.1016/j.scitotenv.2018.04.046