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Automation and Its Influence on Sustainable Development: Economic, Social, and Environmental Dimensions

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  • Ahlam I. Almusharraf

    (Department of Management, College of Business Administration, Princess Nourah Bint Abdulrahman University, P.O. Box 84428, Riyadh 11671, Saudi Arabia)

Abstract

This study investigates the complex duality of automation and its impact on sustainable development, encompassing the factors of economic growth, social equity, and environmental sustainability. Innovations in artificial intelligence, robotics, and machine learning are driving automation and transforming industries through improved production, operational efficiency, and resource optimization. However, the rapid integration of automation has created a paradox. While it offers opportunities for resource optimization and technological advancement, it exacerbates challenges such as income inequality, environmental degradation, and social displacement. These issues underline the need for balanced and inclusive approaches to automation’s implementation. Automation contributes substantively to GDP growth because it raises labor productivity, yet it has arguably enhanced income inequality by eliminating low-skilled jobs. Automation improves energy efficiency and aids in renewable energy integration but increases overall energy effectiveness , leading to concerns regarding ecological sustainability. This study applied a quantitative methodology using longitudinal data from 2000 to 2023 and regression models to examine sustainability metrics influenced by automation. The findings highlight the potential of automation to reform effective forms of manufacturing, encourage environmental innovation, and identify the need for systemic governmental policies. Specifically, the results indicate that automation has contributed to a 25% increase in labor productivity across sectors, a 15% reduction in energy intensity per unit of GDP, and a 12% rise in the Gini index, signaling growing income inequality. These quantitative outcomes emphasize both the opportunities and challenges posed by automation. By integrating technological advancements with sustainability goals, automation can act as a transformative instrument to promote ecological conservation, equitable economic development, and social justice. The paper concludes with recommendations for governments and industry leaders to incorporate automation into sustainable development objectives, ensuring the equitable distribution of its advantages, while alleviating socio-environmental hazards.

Suggested Citation

  • Ahlam I. Almusharraf, 2025. "Automation and Its Influence on Sustainable Development: Economic, Social, and Environmental Dimensions," Sustainability, MDPI, vol. 17(4), pages 1-22, February.
    • Handle: RePEc:gam:jsusta:v:17:y:2025:i:4:p:1754-:d:1594939
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    References listed on IDEAS

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