The circular economy's closed loop and product service systems for sustainable development: A review and appraisal

This review paper examines relevant regulatory guidelines, policies, and recommendations on sustainable development, where it traces the origins of circular economy (CE). Afterwards, it sheds light on key theoretical underpinnings on CE's closed loop and product service systems. The findings suggest that the CE's regenerative systems minimise the environmental impact as practitioners reduce their externalities, including waste, emissions, and energy leakages through the use and reuse of resources. Therefore, this contribution offers a critique on CE's inherent limitations and discusses about the implications of having regulatory interventions that are intended to encourage responsible consumption and production behaviours. This contribution implies that CE is creating value to business and the environment. The closed loop and product service systems can unleash a new wave of operational efficiencies through increased throughput in production processes, as practitioners repair, reuse, remanufacture, refurbish, and recycle resources, whilst safeguarding the natural environment.