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Role of stock market return and natural resources utilisation on green economic development: Empirical evidence from China

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  • Xia, Yu

Abstract

To reduce the negative consequences of resource depletion and contamination on businesses is environmental sustainability, and a green approach has been rising in recent years. The stock market increases with an increase in the financial situation regarding natural resources and environmentally friendly practices. This study investigates the connection between China's stock markets and dependence on natural resources. Data on the Chinese Stock market, Development Bank, and the World Bank were analysed from 1980 to 2015. Autoregressive Distributed Lag (ARDL) was used to examine the long- and short-term connections between China's stock market and reliance on natural resources. The ARDL limit test revealed a significant relationship between the variables in the collected data. In both the long and medium terms, the estimated relationships between the stock market values exchanged and capitalisation were straightforward. In this study, a fresh perspective is presented on how China might shape its economic and ecological strategies.

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  • Xia, Yu, 2023. "Role of stock market return and natural resources utilisation on green economic development: Empirical evidence from China," Resources Policy, Elsevier, vol. 81(C).
    • Handle: RePEc:eee:jrpoli:v:81:y:2023:i:c:s0301420723001332
    DOI: 10.1016/j.resourpol.2023.103425
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