Economic Sustainability in the Transition to a Circular Economy: Challenges and Opportunities

Abstract

The concept of economic sustainability in the context of transitioning to a circular economy, the challenges and opportunities that arise during this transformative process. A circular economy seeks to minimize waste and make the most of resources by creating closed-loop systems where products, materials, and services are reused, repaired, refurbished, and recycled. the economic implications of adopting circular economy practices across various industries, assessing both the short-term challenges and long-term benefits. Through a combination of literature review and case studies, the research identifies key barriers to implementation, such as financial constraints, regulatory hurdles, and the need for technological innovation. Simultaneously, it highlights the economic opportunities, including cost savings, job creation, enhanced resource efficiency, and new business models. The findings underscore that while the transition to a circular economy requires significant investment and collaboration among stakeholders, it also offers substantial economic advantages that can lead to more sustainable and resilient economic systems. This paper provides recommendations for policymakers and businesses on how to effectively navigate the transition, emphasizing the importance of supportive policies, strategic investments, and fostering a culture of innovation and collaboration.