Managing green growth: A new and comprehensive perspective on productivity, institutions, energy, and policy in emerging countries

This study examines green economic growth in ten emerging economies by analyzing various factors that influence sustainable development. Unlike previous research, it incorporates diverse variables such as total factor productivity, energy prices, energy intensity, institutional quality, renewable energy consumption, trade openness, natural resource rents, and unemployment rates. Advanced panel data techniques are employed, beginning with a cross-sectional dependence test, followed by the CIPS unit root test, slope homogeneity tests, and the Durbin-Hausman cointegration test to assess long-term relationships. The study applies the Common Correlated Effects Mean Group (CCEMG) and Augmented Mean Group (AMG) estimators to address endogeneity, cross-sectional dependence, and heterogeneity. Findings indicate that total factor productivity, institutional quality indicators, renewable energy consumption, patent counts, economic complexity, and the human development index positively impact green economic growth. Conversely, rising energy prices, energy intensity, natural resource rents, unemployment, and income inequality hinder progress. The study highlights the importance of enhancing resource efficiency, promoting renewable energy, managing natural resources sustainably, and addressing inequality to support a fair transition. Future research should explore causal links and policy effectiveness in fostering green economic growth.