IDEAS home Printed from https://ideas.repec.org/a/eee/jrpoli/v86y2023ipbs0301420723009492.html
   My bibliography  Save this article

Unfolding impact of natural resources, economic growth, and energy nexus on the sustainable environment: Guidelines for green finance goals in 10 Asian countries

Author

Listed:
  • Mohsin, Muhammad
  • Jamaani, Fouad

Abstract

The evolution of sustainable development goals (SDGs) has attracted attention to sustainability-related issues. The purpose of this paper is to ascertain whether natural resources play a significant role in influencing the sustainability of the environment and greenhouse gas emissions and to evaluate the effects of economic growth, natural resource use, green financing and the use of renewable and non-renewable energy on carbon emissions in ten countries (China, India, Pakistan, Japan, Indonesia, Turkey, South Korea, Thailand, Iran, and Saudi Arabia), chosen for having high gross domestic products (GDP) in the Asian region. Using the panel data estimating technique CS-ARDL, this study covers the period from 1996 through 2022, during which all countries' long-term elasticities were calculated. The results show that renewable and nonrenewable energy helps these nations' economies flourish. Natural resources can impede economic development in certain nations while stimulating it in others. While using renewable energy lowers carbon emissions, using fossil fuels for energy and economic growth both increase carbon emissions. The use of natural resources was a factor in the production of carbon dioxide (CO2) in every country represented on the panel. It is possible to make policy recommendations, such as using green energy sources and green financing that decrease greenhouse gas emissions and improving the educational system, as well as manipulating the government system to increase economic development in examined regions.

Suggested Citation

  • Mohsin, Muhammad & Jamaani, Fouad, 2023. "Unfolding impact of natural resources, economic growth, and energy nexus on the sustainable environment: Guidelines for green finance goals in 10 Asian countries," Resources Policy, Elsevier, vol. 86(PB).
    • Handle: RePEc:eee:jrpoli:v:86:y:2023:i:pb:s0301420723009492
    DOI: 10.1016/j.resourpol.2023.104238
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0301420723009492
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.resourpol.2023.104238?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. Hussein Moghaddam & Robert M. Kunst, 2023. "The Role of Natural Gas in Mitigating Greenhouse Gas Emissions: The Environmental Kuznets Curve Hypothesis for Major Gas-Producing Countries," Sustainability, MDPI, vol. 15(5), pages 1-20, February.
    2. Joseph Ato Forson & Ponlapat Buracom & Guojin Chen & Theresa Yaaba Baah-Ennumh, 2017. "Genuine Wealth Per Capita as a Measure of Sustainability and the Negative Impact of Corruption on Sustainable Growth in Sub-Sahara Africa," South African Journal of Economics, Economic Society of South Africa, vol. 85(2), pages 178-195, June.
    3. Tong, De & Sun, Yiyu & Tang, Junqing & Luo, Zhenying & Lu, Jinfeng & Liu, Xuan, 2023. "Modeling the interaction of internal and external systems of rural settlements: The case of Guangdong, China," Land Use Policy, Elsevier, vol. 132(C).
    4. Zhang, Chunhong & Khan, Irfan & Dagar, Vishal & Saeed, Asif & Zafar, Muhammad Wasif, 2022. "Environmental impact of information and communication technology: Unveiling the role of education in developing countries," Technological Forecasting and Social Change, Elsevier, vol. 178(C).
    5. Lian Ding & Xiaodong Zhu, 2023. "The Impact of the Dual-Credit Policy on Production and Cooperative R&D in the Automotive Supply Chain," Sustainability, MDPI, vol. 15(2), pages 1-18, January.
    6. Gao, Huasheng & Shi, Donghui & Zhao, Bin, 2021. "Does good luck make people overconfident? Evidence from a natural experiment in the stock market," Journal of Corporate Finance, Elsevier, vol. 68(C).
    7. Aktar, Asikha & Alam, Md. Mahmudul & Al-Amin, Abul Quasem, 2021. "Global Economic Crisis, Energy Use, CO2 Emissions and Policy Roadmap amid COVID-19," OSF Preprints 69kje, Center for Open Science.
    8. Khan, Irfan & Zakari, Abdulrasheed & Dagar, Vishal & Singh, Sanjeet, 2022. "World energy trilemma and transformative energy developments as determinants of economic growth amid environmental sustainability," Energy Economics, Elsevier, vol. 108(C).
    9. Chrisovalantis Malesios & Antonis Skouloudis & Prasanta Kumar Dey & Fouad Ben Abdelaziz & Apostolos Kantartzis & Konstantinos Evangelinos, 2018. "Impact of small‐ and medium‐sized enterprises sustainability practices and performance on economic growth from a managerial perspective: Modeling considerations and empirical analysis results," Business Strategy and the Environment, Wiley Blackwell, vol. 27(7), pages 960-972, November.
    10. Huang, Chiung-Ju & Ho, Yuan-Hong, 2017. "Governance and economic growth in Asia," The North American Journal of Economics and Finance, Elsevier, vol. 39(C), pages 260-272.
    11. Chang, Lei & Taghizadeh-Hesary, Farhad & Saydaliev, Hayot Berk, 2022. "How do ICT and renewable energy impact sustainable development?," Renewable Energy, Elsevier, vol. 199(C), pages 123-131.
    12. Zhang, Hongwei & Shao, Yanmin & Han, Xiping & Chang, Hsu-Ling, 2022. "A road towards ecological development in China: The nexus between green investment, natural resources, green technology innovation, and economic growth," Resources Policy, Elsevier, vol. 77(C).
    13. 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.
    14. Ying Sun & Li Liu, 2022. "Green Credit Policy and Enterprise Green M&As: An Empirical Test from China," Sustainability, MDPI, vol. 14(23), pages 1-22, November.
    15. Armand Kasztelan, 2017. "Green Growth, Green Economy and Sustainable Development: Terminological and Relational Discourse," Prague Economic Papers, Prague University of Economics and Business, vol. 2017(4), pages 487-499.
    16. Edward B. Barbier & Joanne C. Burgess, 2017. "Natural Resource Economics, Planetary Boundaries and Strong Sustainability," Sustainability, MDPI, vol. 9(10), pages 1-12, October.
    17. Hu, Feng & Xi, Xun & Zhang, Yueyue, 2021. "Influencing mechanism of reverse knowledge spillover on investment enterprises’ technological progress: An empirical examination of Chinese firms," Technological Forecasting and Social Change, Elsevier, vol. 169(C).
    18. Karsten Neuhoff & Stefan Bach & Jochen Diekmann & Martin Beznoska & Tarik El-Laboudy, 2013. "Distributional Effects of Energy Transition: Impacts of Renewable Electricity Support in Germany," Economics of Energy & Environmental Policy, International Association for Energy Economics, vol. 0(Number 1).
    19. Lee, Chien-Chiang & Wang, Fuhao & Lou, Runchi & Wang, Keying, 2023. "How does green finance drive the decarbonization of the economy? Empirical evidence from China," Renewable Energy, Elsevier, vol. 204(C), pages 671-684.
    20. Lago, Jesus & Marcjasz, Grzegorz & De Schutter, Bart & Weron, Rafał, 2021. "Forecasting day-ahead electricity prices: A review of state-of-the-art algorithms, best practices and an open-access benchmark," Applied Energy, Elsevier, vol. 293(C).
    21. Asif, Muhammad & Khan, Khan Burhan & Anser, Muhammad Khalid & Nassani, Abdelmohsen A. & Abro, Muhammad Moinuddin Qazi & Zaman, Khalid, 2020. "Dynamic interaction between financial development and natural resources: Evaluating the ‘Resource curse’ hypothesis," Resources Policy, Elsevier, vol. 65(C).
    22. Ma, Qiang & Liu, Xin & Wang, Wei-Guo & Xue, Jing, 2023. "Natural resources extraction and COP26 target: Evaluating the role of green finance," Resources Policy, Elsevier, vol. 82(C).
    23. Betz, Michael R. & Partridge, Mark D. & Farren, Michael & Lobao, Linda, 2015. "Coal mining, economic development, and the natural resources curse," Energy Economics, Elsevier, vol. 50(C), pages 105-116.
    24. Navitha Singh Sewpersadh, 2023. "Disruptive business value models in the digital era," Journal of Innovation and Entrepreneurship, Springer, vol. 12(1), pages 1-27, December.
    25. Lin, Boqiang & Wang, Yao, 2020. "Does energy poverty really exist in China? From the perspective of residential electricity consumption," Energy Policy, Elsevier, vol. 143(C).
    26. Byrne Kaulu, 2021. "Effects of crude oil prices on copper and maize prices," Future Business Journal, Springer, vol. 7(1), pages 1-15, December.
    27. Ioan Batrancea & Larissa Batrancea & Malar Maran Rathnaswamy & Horia Tulai & Gheorghe Fatacean & Mircea-Iosif Rus, 2020. "Greening the Financial System in USA, Canada and Brazil: A Panel Data Analysis," Mathematics, MDPI, vol. 8(12), pages 1-13, December.
    28. Yuanyuan Li & Jing Tan & Binyang Wu & Jingwen Yu, 2022. "Does digital finance promote entrepreneurship of migrant? Evidence from China," Applied Economics Letters, Taylor & Francis Journals, vol. 29(19), pages 1829-1832, November.
    29. Balsalobre-Lorente, Daniel & Shahbaz, Muhammad & Roubaud, David & Farhani, Sahbi, 2018. "How economic growth, renewable electricity and natural resources contribute to CO2 emissions?," Energy Policy, Elsevier, vol. 113(C), pages 356-367.
    30. Liu, Ying & Feng, Chao, 2023. "Promoting renewable energy through national energy legislation," Energy Economics, Elsevier, vol. 118(C).
    31. Fang, Wei & Liu, Zhen & Surya Putra, Ahmad Romadhoni, 2022. "Role of research and development in green economic growth through renewable energy development: Empirical evidence from South Asia," Renewable Energy, Elsevier, vol. 194(C), pages 1142-1152.
    32. Belaïd, Fateh & Zrelli, Maha Harbaoui, 2019. "Renewable and non-renewable electricity consumption, environmental degradation and economic development: Evidence from Mediterranean countries," Energy Policy, Elsevier, vol. 133(C).
    33. Guo, Bingnan & Wang, Yu & Zhang, Hao & Liang, Chunyan & Feng, Yu & Hu, Feng, 2023. "Impact of the digital economy on high-quality urban economic development: Evidence from Chinese cities," Economic Modelling, Elsevier, vol. 120(C).
    34. Khan, Irfan & Zakari, Abdulrasheed & Zhang, Jinjun & Dagar, Vishal & Singh, Sanjeet, 2022. "A study of trilemma energy balance, clean energy transitions, and economic expansion in the midst of environmental sustainability: New insights from three trilemma leadership," Energy, Elsevier, vol. 248(C).
    35. Saira Begum & Muhammad Ashfaq & Kaveh Asiaei & Khuram Shahzad, 2023. "Green intellectual capital and green business strategy: The role of green absorptive capacity," Business Strategy and the Environment, Wiley Blackwell, vol. 32(7), pages 4907-4923, November.
    36. Zakari, Abdulrasheed & Li, Guo & Khan, Irfan & Jindal, Abhinav & Tawiah, Vincent & Alvarado, Rafael, 2022. "Are abundant energy resources and Chinese business a solution to environmental prosperity in Africa?," Energy Policy, Elsevier, vol. 163(C).
    37. Li, ChangZheng & Umair, Muhammad, 2023. "Does green finance development goals affects renewable energy in China," Renewable Energy, Elsevier, vol. 203(C), pages 898-905.
    38. Zakari, Abdulrasheed & Khan, Irfan & Tawiah, Vincent & Alvarado, Rafael & Li, Guo, 2022. "The production and consumption of oil in Africa: The environmental implications," Resources Policy, Elsevier, vol. 78(C).
    39. Alshehry, Atef Saad & Belloumi, Mounir, 2015. "Energy consumption, carbon dioxide emissions and economic growth: The case of Saudi Arabia," Renewable and Sustainable Energy Reviews, Elsevier, vol. 41(C), pages 237-247.
    40. Anu, & Singh, Amit Kumar & Raza, Syed Ali & Nakonieczny, Joanna & Shahzad, Umer, 2023. "Role of financial inclusion, green innovation, and energy efficiency for environmental performance? Evidence from developed and emerging economies in the lens of sustainable development," Structural Change and Economic Dynamics, Elsevier, vol. 64(C), pages 213-224.
    41. Xuan Liu & Zehao Li & Xinyi Fu & Zhengtong Yin & Mingzhe Liu & Lirong Yin & Wenfeng Zheng, 2023. "Monitoring House Vacancy Dynamics in The Pearl River Delta Region: A Method Based on NPP-VIIRS Night-Time Light Remote Sensing Images," Land, MDPI, vol. 12(4), pages 1-21, April.
    Full references (including those not matched with items on IDEAS)

    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. Dong, Zhu & Shi, Hui, 2023. "Does natural resources efficiency provide roadmap for economic development in China? Evidence from econometric analysis," Resources Policy, Elsevier, vol. 86(PB).
    2. Sun, Yunpeng & Guan, Weimin & Mehmood, Usman & Yang, Xiaodong, 2022. "Asymmetric impacts of natural resources on ecological footprints: Exploring the role of economic growth, FDI and renewable energy in G-11 countries," Resources Policy, Elsevier, vol. 79(C).
    3. Jiang, Wanxing & Gao, Han, 2023. "The nexus between natural resources and exports of goods and services in the OECD countries," Resources Policy, Elsevier, vol. 85(PA).
    4. Sun, Wei & Yao, Guohui, 2023. "Impact of mineral resource depletion on energy use: Role of energy extraction, CO2 intensity, and natural resource sustainability," Resources Policy, Elsevier, vol. 86(PB).
    5. Chen, Xi & Liu, Binyi & Ma, Yali & Lv, Shuhui, 2023. "Building back greener: Promoting performance in natural resource markets for sustainable development," Resources Policy, Elsevier, vol. 86(PB).
    6. Xuan, Di & Jiang, Xiaoyan & Fang, Yan, 2023. "Can globalization and the green economy hedge natural resources? Functions of population growth and financial development in BRICS countries," Resources Policy, Elsevier, vol. 82(C).
    7. Liang, Shuai & Wang, Peng & Jia, Cunlu & Zhu, Jialan, 2023. "Studying green financing, factor allocation efficiency, and regional productivity growth in renewable energy industries," Renewable Energy, Elsevier, vol. 214(C), pages 130-139.
    8. Fan, Lulu & Wang, Dawei, 2024. "Natural resource efficiency and green economy: Key takeaways on clean energy, globalization, and innovations in BRICS countries," Resources Policy, Elsevier, vol. 88(C).
    9. Yuan, Jian & Yang, Ranran & Fu, Qiang, 2023. "Aspects of renewable energy influenced by natural resources: How do the stock market and technology play a role?," Resources Policy, Elsevier, vol. 85(PB).
    10. Liu, Haiying & Alharthi, Majed & Atil, Ahmed & Zafar, Muhammad Wasif & Khan, Irfan, 2022. "A non-linear analysis of the impacts of natural resources and education on environmental quality: Green energy and its role in the future," Resources Policy, Elsevier, vol. 79(C).
    11. Xiong, Yuyu & Guo, Hongxiang & Nor, Datin Dr Mariani Md & Song, Andong & Dai, Li, 2023. "Mineral resources depletion, environmental degradation, and exploitation of natural resources: COVID-19 aftereffects," Resources Policy, Elsevier, vol. 85(PA).
    12. Yu, Mengyan & Umair, Muhammad & Oskenbayev, Yessengali & Karabayeva, Zhаnsaya, 2023. "Exploring the nexus between monetary uncertainty and volatility in global crude oil: A contemporary approach of regime-switching," Resources Policy, Elsevier, vol. 85(PB).
    13. Yun, Na, 2023. "Nexus among carbon intensity and natural resources utilization on economic development: Econometric analysis from China," Resources Policy, Elsevier, vol. 83(C).
    14. Qin, Zhaohui & Pan, Yuchen & Peng, Pin & Chen, Hailin & Mazheti, Winnie Kudzai, 2023. "Impact of industrial development and machinery and transport equipment on natural resources in South Africa," Resources Policy, Elsevier, vol. 82(C).
    15. Yan, Juan & Haroon, Muhammad, 2023. "Financing efficiency in natural resource markets mobilizing private and public capital for a green recovery," Resources Policy, Elsevier, vol. 85(PB).
    16. Chang, Lei & Mohsin, Muhammad & Hasnaoui, Amir & Taghizadeh-Hesary, Farhad, 2023. "Exploring carbon dioxide emissions forecasting in China: A policy-oriented perspective using projection pursuit regression and machine learning models," Technological Forecasting and Social Change, Elsevier, vol. 197(C).
    17. Ngo, Thanh Quang, 2024. "Natural resource rents, clean energy, and green total factor productivity. Evidence from Vietnam in pre-post Covid era," Resources Policy, Elsevier, vol. 88(C).
    18. Li, Jie & Cheng, Pengfei & Qian, Xingyue, 2023. "Do mineral rents endowment and agricultural raw material imports determine natural resource management in the United States?," Resources Policy, Elsevier, vol. 85(PA).
    19. Xie, Biqing & Xie, Bibo, 2024. "Assessing the impact of climate policy on energy security in developed economies," International Review of Economics & Finance, Elsevier, vol. 90(C), pages 265-282.
    20. Yang, Zhaiting & Liu, Huiqin & Jiang, Youwei & Zhang, Zhuyun, 2023. "Innovative strategies for green economic recovery: Enhancing efficiency in resource markets," Resources Policy, Elsevier, vol. 86(PB).

    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:86:y:2023:i:pb:s0301420723009492. 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.