Eastern European Business and Economics Journal

System Dynamics Framework for Sustainable Development Analysis of Local Governments



Arnis Lektauers 


Lektauers A. 2015. System Dynamics Framework for Sustainable Development Analysis of Local Governments. Eastern European Business and Economics Journal 1(2): 85-101.


Full text




Dalius NAVAKAUSKAS, Vilnius Gediminas Technical University, Lithuania;

Natalia LYCHKINA, National Research University Higher School of Economics, Russia.

Valerijs SKRIBANS, Riga Technical University, Latvia.





This article presents a concept and theoretical specification for a system dynamics based framework for sustainable development analysis of local governments. Although many countries in the world aspire to the principles of sustainable development, there exists a relatively small number of theoretical studies and practical results in the area of simulation modelling of sustainable development. The proposed modelling framework is based on the concept of sustainable regional development as an unending process defined neither by fixed goals nor by specific means of achieving them.  A sustainable region demands a mutual balance among economic, social, political and naturally environmental development. The system dynamics framework is considered as a useful tool in assisting decion-makers in development planning allowing to evaluate alternative scenarios and planning options..



System Dynamics, Sustainable Development, Regional Development.






Barro, R. J. (1998, July). Notes on growth accounting. NBER Working Paper (W6654).

Bossel, H. (1994). Modeling and Simulation. AK Peters.

Bossel, H. (1998).  Earth at a Crossroads: Paths to a Sustainable Future.  Cambridge University Press.

Bossel, H. (1999). Indicators for Sustainable Development: Theory, Method, Applications. International Institute for Sustainable Development.

European Council (2006). The renewed European Sustainable Development Strategy 2006. http://ec.europa.eu/sustainable/docs/renewed_eu_sds_en.pdf.

Forrester, J. (1969). Urban Dynamics. Pegasus Communications, Inc.

Forrester, J. (1971). World Dynamics. Wright-Allen Press.

Hjorth, P. and A. Bagheri (2006, February). Navigating towards sustainable development: A system dynamics approach. Futures 38(1), 74–92.

Huser, B., D. Rutledge, H. van Delden, M. Wedderburn, M. Cameron, S. Elliott, T. Fenton, J. Hurkens, G. McBride, G. McDonald, M. O’Connor, D. Phyn, J. Poot, R. Price, B. Small, A. Tait, R. Vanhout, and R. Woods (2009). Development of an integrated spatial decision support system (ISDSS) for local government in New Zealand. In Proceedings of the 18th World IMACS/MODSIM Congress, pp. 2370–2376.

Mayerthaler, A., R. Haller, and G. Emberger (2009). A land-use/transport interaction model for Austria. In Proceedings of the 27th International Conference of The System Dynamics, Albuquerque/USA, pp. 1–21.

Meadows, D. (1998).  Indicators and Information Systems for Sustainable Development. The Sustainability Institute.

Meadows, D. H., D. L. Meadows, and J. Randers (2004).  Limits to Growth - the 30-Year Update. Chelsea Green Publishing Co.

Ministry of Environment and Energy, National Environmental Research Institute (2001, March).  PSSD - planning system for sustainable development:  The methodical report. Technical report, Department of Policy Analysis.

Owens, S. and R. Cowell (1994, July). Lost land and limits to growth: Conceptual problems for sustainable land use change. Land Use Policy 11(3), 168–180.

Threshold 21 (T21) (2009).    Overview of Threshold 21 (T21) model.    http://www.millenniuminstitute.net/resources/elibrary/papers/T21Overview.pdf.

Tuvikene L., Bogdanova O., Skribans V. (2015). Regional cooperation optimization model: addressing Energy challenges in the Baltic Sea region. Eastern European Business and Economics Journal 1(1): 2-11.

Zgurovsky, M. (2009). Global analysis of sustainable development in context of quality and security of human life. System Research and Information Technologies 1, 7–21.