Socioeconomic Impacts and Regional Disparities in Circular Economy Adoption: Insights from Europe and Beyond

Authors

  • Gemma Durán-Romero Universidad Autónoma de Madrid; Member of CIRCULARECON III Research Project Reforma fiscal y Economía circular Author
  • Ana M. López-García Universidad Autónoma de Madrid Author
  • Dionisio Ramírez-Carrera Universidad de Castilla-La Mancha Author
  • José Antonio Negrín-de la Peña Universidad de Castilla-La Mancha Author

DOI:

https://doi.org/10.55845/HOND7103

Keywords:

Circular economy, sustainability, resource efficiency, employment dynamics, ocioeconomic impacts

Abstract

The transition to a Circular Economy (CE) aims to decouple economic growth from resource consumption by 
promoting resource efficiency, sustainable industries, and regional economic resilience. CE offers 
environmental benefits, such as reduced resource demand and lower greenhouse gas emissions (GHG) but also 
introduces complex economic effects that require further research. This article examines the socioeconomic 
impacts of the CE, focusing on the European Union (EU), where member states have developed specific 
strategies to address their economic and environmental challenges, exploring employment dynamics and 
resource optimisation. It explores employment dynamics and resource optimization across sectors. It combines 
a comprehensive review of existing literature with an empirical analysis to contrast theoretical insights with 
current data on investment and employment trends in CE sectors. The findings highlight opportunities, such 
as job creation in recycling, repair, and service-based industries, as well as challenges, including job losses in 
manufacturing and mining. Germany and France are confirmed as leaders, with steady investments in EC and 
employment growth. Meanwhile, southern European countries are being addressed, underscoring the need for 
urgent and tailored strategies and policies that align macroeconomic goals with the principles of CE. This dual 
approach provides actionable insights for fostering sustainable economic growth, environmental resilience, 
and inclusive transitions within the EU and beyond.

 

Correction note: The author affiliations in this article were corrected on 17 December 2025. The scholarly content of the article remains unchanged.

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07-12-2025

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Durán-Romero, G., López-García, A. M., Ramírez-Carrera, D., & Negrín-de la Peña, J. A. (2025). Socioeconomic Impacts and Regional Disparities in Circular Economy Adoption: Insights from Europe and Beyond. Journal of Circular Economy, 3(3). https://doi.org/10.55845/HOND7103