This research paper aims to find a causal relationship between the circular economy and sustainable economic development. The implementation of the circular economy in the European Union requires, on the one hand, smart regulation and on the other hand, the long-term involvement of all actors in society at all levels—member states, regions, cities, businesses, citizens—and their ability to develop cooperation networks and suitable collaboration and exchange patterns. Moreover, the circular economy is based on business models for reusing, recycling and recovering materials in the production and consumption of goods. This research establishes correlations between circular economy performance measurement indicators and sustainable economic development using panel analysis. Statistically significant correlations were noted between GDP per capita and three independent variables, mainly due to the high R-squared coefficient. This research’s innovation contribution is related to the selection and combination of circular economy indicators. Finally, the results confirmed that an increase in the recycling rate of municipal waste and a decrease in environmental tax revenues and environmental protection expenditures led to an increase in GDP per capita and sustainable economic development.

In this article, we analyze the correlation between GDP/capita variation, primary and renewable energy consumption and greenhouse gas emissions on the one hand, and green taxes on the other. Green taxes are the main instruments used to limit activities that have a negative impact on the environment. These consist of taxes paid by producers and/or consumers for any activity that generates pollution. The results of dynamic regressions, validated by the applied robustness tests, indicate a significant and positive correlation between primary energy consumption and total environmental taxes, respectively energy taxes. At the same time, this shows that variation in GDP/capita significantly and positively influences transport taxes and pollution taxes. In contrast, net greenhouse gas emissions and the supply, transformation and consumption of renewable sources and waste do not significantly influence the total green taxes and their components. This finding is useful to both academic research and government policies for the realistic substantiation of the levels of green tax revenues and for establishing appropriate measures meant to reduce CO₂ emissions.

Green taxes are taxes collected to protect the environment by controlling the negative effects of certain activities and products on the environment. They are also an instrument of environmental policy and can therefore contribute to several sustainable development goals. According to the studies carried out, the green economy aims to ensure sustainable development. The main objective of this paper is to identify the existing relationships between green taxes and sustainable economic development through a dynamic panel analysis. A dynamic panel analysis was therefore carried out on the existing links between environmental taxes and charges at the European level and the indicators of the circular economy. The results of the two dynamic regressions for the two dependent variables, namely total green taxes and energy taxes, show a positive and significant correlation with the variation of GDP and with primary energy consumption, confirming the hypothesis that environmental taxes and energy taxes are closely linked to these two important indicators of sustainable development. Thus, as GDP changes, the taxes on energy production and the energy products used in both transport and stationary applications increase. As a result of the analysis, we can note that the increase in primary energy consumption and the consumption of raw materials leads to an increase in environmental and energy taxes. Energy taxes are a possible solution to reduce CO₂ emissions in third world countries and may even stimulate climate action. In contrast, we found no significant correlation between green taxes and the following variables: Human Development Index, net greenhouse gas emissions, private investment and gross value added related to circular economy sectors, the consumption of raw materials, waste generated, waste treatment, the supply, transformation, and consumption of renewable energy, public expenditure on environmental protection, and climate-related economic losses.

Digitalization of modern society in recent years has led to real changes in the economy. The financial sector is at the heart of the digital transformation, led by fintech, which is currently shaping a new segment of modern financial markets. Based on an analysis of international experience, this chapter formulates key approaches that, when implemented, allow states to stimulate the adoption and development of new financial technologies in the entrepreneurial sphere. Thus, the case study of a successful Romanian fintech start-up is focused on the characteristics of the business transformation process, associated with adaptive business processes, which allow FinTech’s, using AI, to radically transform a business. The chapter also explores the challenges and opportunities that open up for users of artificial intelligence and financial institutions in the context of rapidly changing markets.

Digital economy in Europe is an integral part of the information environment, shaped in accordance with the needs of the real sector of the economy and the requirements of society, which change under the influence of technological innovations. Its key components are found under the aegis of sustainable development, digital technologies, and artificial intelligence, considering their interdependence, as well as their continuity with previously developed conceptual frameworks. The chapter analyses the current state of digitalization in the EU and emphasizes the assessment of the level, dynamics and development trends of technological innovations in Romania and Hungary. In order to clearly understand the purpose of this study, the importance of the essence of the digital economy and the stage of its development is demonstrated by using the Digital Economy and Society Index (DESI) indicator.