IDEAS home Printed from https://ideas.repec.org/a/eee/jrpoli/v85y2023ipbs0301420723007079.html
   My bibliography  Save this article

Chinese economic growth and sustainable development: Role of artificial intelligence and natural resource management

Author

Listed:
  • Wang, Yanjun
  • Li, Yongfang

Abstract

The study's objectives are to examine the effect of artificial intelligence and natural resource on China's economic growth from 1981 to 2021, along with other explanatory variables, including interest rate, inflation, trade openness, and government expenditures. The research incorporates the asymmetric effect of artificial intelligence on economic progress. Using the Nonlinear Autoregressive Distributed Lag (NARDL) method and bound test, it is concluded that Artificial Intelligence and Natural Resource Management tend to increase economic growth. The asymmetric effects of artificial intelligence provide an increasing trend for the positive component whereas decreasing trend for the harmful constituent. In addition, interest rates and inflation were found to affect economic growth in the short and long run negatively. Trade openness and government expenditures show adverse effects in the short run but positive in the long run. The analysis of this study is pivotal for policymakers for efficacious monetary and fiscal policies, efficient utilization of resources, and exploration of more resources for increased sustainable economic growth.

Suggested Citation

  • Wang, Yanjun & Li, Yongfang, 2023. "Chinese economic growth and sustainable development: Role of artificial intelligence and natural resource management," Resources Policy, Elsevier, vol. 85(PB).
    • Handle: RePEc:eee:jrpoli:v:85:y:2023:i:pb:s0301420723007079
    DOI: 10.1016/j.resourpol.2023.103996
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0301420723007079
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.resourpol.2023.103996?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Sayef BAKARI & Sofien TIBA & Mohamed MABROUKI, 2022. "An Exploratory Study of the Causality between Internet Use, Innovation, and Economic Growth in Tunisia: An indispensable Case Analysis," Journal of Economics and Financial Analysis, Tripal Publishing House, vol. 6(1), pages 1-18.
    2. Ambreen FATEMAH & Abdul QAYYUM, 2018. "Modeling the impact of exports on the economic growth of Pakistan," Turkish Economic Review, KSP Journals, vol. 5(1), pages 56-64, March.
    3. Dong-Hyeon Kim & Shu-Chin Lin, 2017. "Natural Resources and Economic Development: New Panel Evidence," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 66(2), pages 363-391, February.
    4. Pradhan, Rudra P. & Arvin, Mak B. & Nair, Mahendhiran & Bennett, Sara E., 2020. "The dynamics among entrepreneurship, innovation, and economic growth in the Eurozone countries," Journal of Policy Modeling, Elsevier, vol. 42(5), pages 1106-1122.
    5. Marios Zachariadis, 2003. "R&D, innovation, and technological progress: a test of the Schumpeterian framework without scale effects," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 36(3), pages 566-586, August.
    6. Ziran, Zhong, 1999. "Natural resources planning, management, and sustainable use in China," Resources Policy, Elsevier, vol. 25(4), pages 211-220, December.
    7. Cecen, Aydin & Xiao, Linlan, 2014. "Capital flows and current account dynamics in Turkey: A nonlinear time series analysis," Economic Modelling, Elsevier, vol. 39(C), pages 240-246.
    8. Auty, Richard M., 1994. "Industrial policy reform in six large newly industrializing countries: The resource curse thesis," World Development, Elsevier, vol. 22(1), pages 11-26, January.
    9. Giulio Cainelli & Rinaldo Evangelista & Maria Savona, 2006. "Innovation and economic performance in services: a firm-level analysis," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 30(3), pages 435-458, May.
    10. Mauro Boianovsky, 2018. "Beyond capital fundamentalism: Harrod, Domar and the history of development economics [Economics of growth]," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 42(2), pages 477-504.
    11. Yu-Shan Chen & Tai-Wei Chang & Chun-Yu Lin & Pi-Yu Lai & Kuan-Hung Wang, 2016. "The Influence of Proactive Green Innovation and Reactive Green Innovation on Green Product Development Performance: The Mediation Role of Green Creativity," Sustainability, MDPI, vol. 8(10), pages 1-12, September.
    12. Ramesh Chandra Paudel & Nelson Perera, 2009. "Foreign Debt, Trade Openness, Labor Force and Economic Growth: Evidence from Sri Lanka," The IUP Journal of Applied Economics, IUP Publications, vol. 0(1), pages 57-64, January.
    13. Daron Acemoglu & Pascual Restrepo, 2018. "The Race between Man and Machine: Implications of Technology for Growth, Factor Shares, and Employment," American Economic Review, American Economic Association, vol. 108(6), pages 1488-1542, June.
    14. Zhou, Bing & Zeng, Xiaoyan & Jiang, Lu & Xue, Bing, 2020. "High-quality Economic Growth under the Influence of Technological Innovation Preference in China: A Numerical Simulation from the Government Financial Perspective," Structural Change and Economic Dynamics, Elsevier, vol. 54(C), pages 163-172.
    15. Stephen R. Bond & Adeel Malik, 2009. "Natural resources, export structure, and investment," Oxford Economic Papers, Oxford University Press, vol. 61(4), pages 675-702, October.
    16. Buhmann, Alexander & Fieseler, Christian, 2021. "Towards a deliberative framework for responsible innovation in artificial intelligence," Technology in Society, Elsevier, vol. 64(C).
    17. Bulent Guloglu & R. Tekin, 2012. "A Panel Causality Analysis of the Relationship among Research and Development, Innovation, and Economic Growth in High-Income OECD Countries," Eurasian Economic Review, Springer;Eurasia Business and Economics Society, vol. 2(1), pages 32-47, June.
    18. Koellinger, Philipp, 2008. "The relationship between technology, innovation, and firm performance--Empirical evidence from e-business in Europe," Research Policy, Elsevier, vol. 37(8), pages 1317-1328, September.
    19. Iain M. Cockburn & Rebecca Henderson & Scott Stern, 2018. "The Impact of Artificial Intelligence on Innovation," NBER Working Papers 24449, National Bureau of Economic Research, Inc.
    20. Chao Liu & Guanjun Xia, 2018. "Research on the Dynamic Interrelationship among R&D Investment, Technological Innovation, and Economic Growth in China," Sustainability, MDPI, vol. 10(11), pages 1-19, November.
    21. Papyrakis, Elissaios & Gerlagh, Reyer, 2004. "The resource curse hypothesis and its transmission channels," Journal of Comparative Economics, Elsevier, vol. 32(1), pages 181-193, March.
    22. Iain M. Cockburn & Rebecca Henderson & Scott Stern, 2018. "The Impact of Artificial Intelligence on Innovation: An Exploratory Analysis," NBER Chapters, in: The Economics of Artificial Intelligence: An Agenda, pages 115-146, National Bureau of Economic Research, Inc.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Si Mohammed, Kamel & Abddel-Jalil Sallam, Osama Azmi & Abdelkader, Salim Bourchid & Radulescu, Magdalena, 2024. "Dynamic effects of digital governance and government interventions on natural resources management: Fresh findings from Chinese provinces," Resources Policy, Elsevier, vol. 92(C).
    2. Mohd Yousuf Javed & Mohammad Hasan & Mohd Aqil & Mohd Ziaur Rehman & S. A. Atif Salar, 2024. "Exploring Sustainable Investments: How They Drive Firm Performance in Indian Private and Publicly Listed Companies," Sustainability, MDPI, vol. 16(16), pages 1-16, August.
    3. Yang, Haili & Zou, Jiantao & Luo, Yueyue & Wang, Yuan & Qiu, Yunhua & Guo, Hao, 2024. "The role of fintech, natural resources, and energy use in shaping environmental sustainability in China: A QARDL perspective," Resources Policy, Elsevier, vol. 89(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Venturini, Francesco, 2022. "Intelligent technologies and productivity spillovers: Evidence from the Fourth Industrial Revolution," Journal of Economic Behavior & Organization, Elsevier, vol. 194(C), pages 220-243.
    2. Montobbio, Fabio & Staccioli, Jacopo & Virgillito, Maria Enrica & Vivarelli, Marco, 2022. "Robots and the origin of their labour-saving impact," Technological Forecasting and Social Change, Elsevier, vol. 174(C).
    3. Azar, José & Alekseeva, Liudmila & Gine, Mireia & Samila, Sampsa & Taska, Bledi, 2020. "The Demand for AI Skills in the Labor Market," CEPR Discussion Papers 14320, C.E.P.R. Discussion Papers.
    4. Liu, Liang & Yang, Kun & Fujii, Hidemichi & Liu, Jun, 2021. "Artificial intelligence and energy intensity in China’s industrial sector: Effect and transmission channel," Economic Analysis and Policy, Elsevier, vol. 70(C), pages 276-293.
    5. Cathles, Alison & Nayyar, Gaurav & Rückert, Désirée, 2020. "Digital technologies and firm performance: Evidence from Europe," EIB Working Papers 2020/06, European Investment Bank (EIB).
    6. Gu, Jianqiang & Gouliamos, Kostas & Lobonţ, Oana-Ramona & Nicoleta-Claudia, Moldovan, 2021. "Is the fourth industrial revolution transforming the relationship between financial development and its determinants in emerging economies?," Technological Forecasting and Social Change, Elsevier, vol. 165(C).
    7. Babina, Tania & Fedyk, Anastassia & He, Alex & Hodson, James, 2024. "Artificial intelligence, firm growth, and product innovation," Journal of Financial Economics, Elsevier, vol. 151(C).
    8. Maria Khan, 2021. "Effect of Natural Resources on Economic Growth in Pakistan: A Time Series Analysis," Asian Journal of Economic Modelling, Asian Economic and Social Society, vol. 9(1), pages 29-47, March.
    9. Yang, Haochang & Li, Lianshui & Liu, Yaobin, 2022. "The effect of manufacturing intelligence on green innovation performance in China," Technological Forecasting and Social Change, Elsevier, vol. 178(C).
    10. Badeeb, Ramez Abubakr & Lean, Hooi Hooi & Clark, Jeremy, 2017. "The evolution of the natural resource curse thesis: A critical literature survey," Resources Policy, Elsevier, vol. 51(C), pages 123-134.
    11. Zhou, Yixiao & Tyers, Rod, 2019. "Automation and inequality in China," China Economic Review, Elsevier, vol. 58(C).
    12. Ishak, Phoebe W. & Gradstein, Mark, 2021. "We Don't Need No Education: The Effect of Persistent Income Shocks on Human Capital," VfS Annual Conference 2021 (Virtual Conference): Climate Economics 242368, Verein für Socialpolitik / German Economic Association.
    13. Wang, Rong & Zameer, Hashim & Feng, Yue & Jiao, Zhilun & Xu, Li & Gedikli, Ayfer, 2019. "Revisiting Chinese resource curse hypothesis based on spatial spillover effect: A fresh evidence," Resources Policy, Elsevier, vol. 64(C).
    14. Charles Ayoubi & Boris Thurm, 2023. "Knowledge diffusion and morality: Why do we freely share valuable information with Strangers?," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 32(1), pages 75-99, January.
    15. Filiou, Despoina & Kesidou, Effie & Wu, Lichao, 2023. "Are smart cities green? The role of environmental and digital policies for Eco-innovation in China," World Development, Elsevier, vol. 165(C).
    16. Ajay Agrawal & Joshua Gans & Avi Goldfarb, 2019. "Economic Policy for Artificial Intelligence," Innovation Policy and the Economy, University of Chicago Press, vol. 19(1), pages 139-159.
    17. Amin Karimu & George Adu & George Marbuah & Justice Tei Mensah & Franklin Amuakwa-Mensah, 2017. "Natural Resource Revenues and Public Investment in Resource-rich Economies in Sub-Saharan Africa," Review of Development Economics, Wiley Blackwell, vol. 21(4), pages 107-130, November.
    18. Elissaios Papyrakis & Reyer Gerlagh, 2005. "Natural Resources, Innovation, and Growth," DEGIT Conference Papers c010_054, DEGIT, Dynamics, Economic Growth, and International Trade.
    19. Rathi, Sawan & Majumdar, Adrija & Chatterjee, Chirantan, 2024. "Did the COVID-19 pandemic propel usage of AI in pharmaceutical innovation? New evidence from patenting data," Technological Forecasting and Social Change, Elsevier, vol. 198(C).
    20. Taner Turan & Halit Yanıkkaya, 2020. "Natural resource rents and capital accumulation nexus: do resource rents raise public human and physical capital expenditures?," Environmental Economics and Policy Studies, Springer;Society for Environmental Economics and Policy Studies - SEEPS, vol. 22(3), pages 449-466, July.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jrpoli:v:85:y:2023:i:pb:s0301420723007079. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/inca/30467 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.