Sustainable Economic Policy and Legal Frameworks in Europe

• Dr. Elena Novak

  Department of Economics and Public Policy Charles University Prague, Czech Republic

  Author

Sustainable economic development has become a central objective of European policymaking as governments seek to balance economic growth with social equity and environmental protection. The European Union has introduced comprehensive legal and policy frameworks to promote sustainability, including climate regulations, social protection standards, and green finance initiatives. This paper examines the role of legal frameworks in shaping sustainable economic policy in Europe, analyzing how regulatory instruments influence economic behavior, investment decisions, and social outcomes. Using recent academic literature and policy evidence from 2023 to 2025, the study evaluates the effectiveness of sustainability-oriented laws and economic policies across European countries. The findings indicate that coherent legal frameworks aligned with economic incentives are essential for achieving sustainable growth, though challenges remain in implementation and policy coordination. The paper concludes with recommendations to strengthen the integration of sustainability objectives within European economic governance.

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