The Role of Entrepreneurial Activities in the Three Pillars of Sustainable Development (Economic Growth, Human Development, and Environment): A Comparative Study of Developed and Developing Countries
This study aims to comparatively analyze the role of entrepreneurship in achieving sustainable development in developed and developing countries. Using a dynamic panel data model with the System Generalized Method of Moments (System GMM) estimator, we examine the impact of Total Early-stage Entrepreneurial Activity (TEA) on the three pillars of sustainable development: economic growth (GDPg), human development (HDI), and environmental sustainability (per capita CO2 emissions) over the period 2001–2023. The empirical results reveal significant differences in the effects of entrepreneurship across the two country groups. Findings indicate that entrepreneurship has a stronger and more significant positive effect on economic growth and human development in developing countries. Conversely, the impact of entrepreneurship on CO2 emissions is positive and significant in developing countries, suggesting a short-term trade-off, while this effect is neutral or insignificant in developed countries. These findings support the theoretical distinction between necessity-driven entrepreneurship (prevalent in developing economies) and opportunity-driven entrepreneurship (dominant in developed economies). Consequently, entrepreneurship development policies must be tailored to a country’s specific stage of development, institutional characteristics, and sustainability priorities.
Amouzad Khalili,S , Mohammadi Khyareh,M and Karshenasan,A . (2026). The Role of Entrepreneurial Activities in the Three Pillars of Sustainable Development (Economic Growth, Human Development, and Environment): A Comparative Study of Developed and Developing Countries. (e48092). Journal of economics and regional development, (), e48092 doi: 10.22067/erd.2026.94997.1312
MLA
Amouzad Khalili,S , , Mohammadi Khyareh,M , and Karshenasan,A . "The Role of Entrepreneurial Activities in the Three Pillars of Sustainable Development (Economic Growth, Human Development, and Environment): A Comparative Study of Developed and Developing Countries" .e48092 , Journal of economics and regional development, , , 2026, e48092. doi: 10.22067/erd.2026.94997.1312
HARVARD
Amouzad Khalili S, Mohammadi Khyareh M, Karshenasan A. (2026). 'The Role of Entrepreneurial Activities in the Three Pillars of Sustainable Development (Economic Growth, Human Development, and Environment): A Comparative Study of Developed and Developing Countries', Journal of economics and regional development, (), e48092. doi: 10.22067/erd.2026.94997.1312
CHICAGO
S Amouzad Khalili, M Mohammadi Khyareh and A Karshenasan, "The Role of Entrepreneurial Activities in the Three Pillars of Sustainable Development (Economic Growth, Human Development, and Environment): A Comparative Study of Developed and Developing Countries," Journal of economics and regional development, (2026): e48092, doi: 10.22067/erd.2026.94997.1312
VANCOUVER
Amouzad Khalili S, Mohammadi Khyareh M, Karshenasan A. The Role of Entrepreneurial Activities in the Three Pillars of Sustainable Development (Economic Growth, Human Development, and Environment): A Comparative Study of Developed and Developing Countries. Journal of economics and regional development. 2026;():e48092 (In Persian). doi: 10.22067/erd.2026.94997.1312
