The circular economy (CE) has emerged as a crucial alternative to the traditional linear economic model, which relies on resource extraction, production, and waste disposal, resulting in significant environmental degradation and resource depletion. In contrast, the CE emphasizes resource efficiency through practices such as reusing, repairing, refurbishing, and recycling, providing both environmental and economic benefits. This study investigates the complex interaction between socio-political factors and individual-level CE practices in Italy, addressing gaps in existing research that primarily focus on specific consumer behaviors or demographic characteristics. Particularly, utilizing probit and multivariate probit analyses on the 2021 AVQ “Aspects of Daily Life” dataset from ISTAT, the research examines how socio-political involvement, budget constraints, positive educational externalities, and demographic factors influence CE behaviors. The findings reveal that socio-political factors, particularly political trust in local governments, significantly influence circular practices, with higher trust associated with greater adoption of sustainable transportation and local products, while lower political engagement correlates with increased waste and reduced sustainability, highlighting the need for targeted educational initiatives and localized policies to promote a circular economy effectively.