A grey dynamic model for the evaluation of regional sustainable development and its empirical study

Currently, traditional development issues, such as economic stagnation, as well as new challenges like environmental degradation and globalization, need attention. Sustainable development, including economic, environmental, and social elements, is a main goal of decision-makers. The key to sustainable decision-making is to evaluate and forecast the status quo of sustainable development. Policy makers need a tool based on scientific information to forecast the effects of future actions on sustainability and make policies for sustainable development. This paper analyzes the relation of the economy, environment and social welfare by the grey dynamic model. The proposed method uses time series and basic indicators of ecological system, including economic, environmental and social sub-systems. It is applied to Heilongjiang Province and Jiangsu Province. The results have proved different status quo of sustainable development in these two regions, and suggestions are proposed, such as optimization of industrial structure and eco-industrial development. The conclusion is that there is no unique sustainable path, and accordingly, policy makers should choose different criteria and strategies to make efficient sustainable decisions for each region.