IDEAS home Printed from https://ideas.repec.org/a/eee/jrpoli/v97y2024ics0301420724006494.html
   My bibliography  Save this article

From Resource curse to digital economy Harmony in selected Belt and Road countries

Author

Listed:
  • Wang, Lihong
  • Huang, Jinglei
  • Wang, Chunyan

Abstract

This study explores how the digital economy affects the resource curse in Belt and Road Initiative (BRI) countries. Using data from 27 BRI nations (2001–2020) and fixed effect panel data analysis, we find that increased digital access and technology imports reduce resource dependency. Specifically, a 1% rise in computers per 100 inhabitants correlates with a 0.17% decrease in oil rent, indicating digital access aids economic diversification. Conversely, a 1% increase in internet access tariffs leads to a 0.29% rise in oil rent, impeding diversification. Additionally, a 1% increase in ICT goods imports results in a 0.64% decrease in oil rent. Positive coefficients for electricity consumption and population size suggest intensified resource curse effects. We recommend policies to enhance digital accessibility and technology imports, improve electricity infrastructure, and promote renewable energy sources to mitigate the resource curse in BRI countries.

Suggested Citation

  • Wang, Lihong & Huang, Jinglei & Wang, Chunyan, 2024. "From Resource curse to digital economy Harmony in selected Belt and Road countries," Resources Policy, Elsevier, vol. 97(C).
    • Handle: RePEc:eee:jrpoli:v:97:y:2024:i:c:s0301420724006494
    DOI: 10.1016/j.resourpol.2024.105282
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0301420724006494
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.resourpol.2024.105282?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. Mäkitie, Tuukka & Hanson, Jens & Damman, Sigrid & Wardeberg, Mari, 2023. "Digital innovation's contribution to sustainability transitions," Technology in Society, Elsevier, vol. 73(C).
    2. Li, Menghan & Zhang, Kaiyue & Alamri, Ahmad Mohammed & Ageli, Mohammed Moosa & Khan, Numan, 2023. "Resource curse hypothesis and sustainable development: Evaluating the role of renewable energy and R&D," Resources Policy, Elsevier, vol. 81(C).
    3. M. Hashem Pesaran, 2021. "General diagnostic tests for cross-sectional dependence in panels," Empirical Economics, Springer, vol. 60(1), pages 13-50, January.
    4. Naoyuki Yoshino & Ehsan Rasoulinezhad & Farhad Taghizadeh-Hesary, 2021. "Economic Impacts of Carbon Tax in a General Equilibrium Framework: Empirical Study of Japan," Journal of Environmental Assessment Policy and Management (JEAPM), World Scientific Publishing Co. Pte. Ltd., vol. 23(01n02), pages 1-25, June.
    5. McCauley, Darren & Pettigrew, Kerry, 2023. "Building a just transition in asia-pacific: Four strategies for reducing fossil fuel dependence and investing in clean energy," Energy Policy, Elsevier, vol. 183(C).
    6. Zhao, Linhai & Rasoulinezhad, Ehsan, 2023. "Role of natural resources utilization efficiency in achieving green economic recovery: Evidence from BRICS countries," Resources Policy, Elsevier, vol. 80(C).
    7. Thanh Quang Phung & Ehsan Rasoulinezhad & Hang Luong Thi Thu, 2023. "How are FDI and green recovery related in Southeast Asian economies?," Economic Change and Restructuring, Springer, vol. 56(6), pages 3735-3755, December.
    8. Taghizadeh-Hesary, Farhad & Phoumin, Han & Rasoulinezhad, Ehsan, 2022. "COVID-19 and regional solutions for mitigating the risk of SME finance in selected ASEAN member states," Economic Analysis and Policy, Elsevier, vol. 74(C), pages 506-525.
    9. Luo, Keyu & Wang, Qi & Liang, Chao, 2022. "The way to break the resource curse: New evidence from China," Resources Policy, Elsevier, vol. 79(C).
    10. Ehsan Rasoulinezhad, 2020. "Environmental Impact Assessment Analysis in the Kahak’s Wind Farm," Journal of Environmental Assessment Policy and Management (JEAPM), World Scientific Publishing Co. Pte. Ltd., vol. 22(01n02), pages 1-15, June.
    11. Lee, Chien-Chiang & He, Zhi-Wen & Yuan, Zihao, 2023. "A pathway to sustainable development: Digitization and green productivity," Energy Economics, Elsevier, vol. 124(C).
    12. GU, Jianqiang & Umar, Muhammad & Soran, Semih & Yue, Xiao-Guang, 2020. "Exacerbating effect of energy prices on resource curse: Can research and development be a mitigating factor?," Resources Policy, Elsevier, vol. 67(C).
    13. Ye, Xiang & Rasoulinezhad, Ehsan, 2023. "Assessment of impacts of green bonds on renewable energy utilization efficiency," Renewable Energy, Elsevier, vol. 202(C), pages 626-633.
    14. Li, Wenqing & Qiao, Yuanbo & Li, Xiao & Wang, Yutao, 2022. "Energy consumption, pollution haven hypothesis, and Environmental Kuznets Curve: Examining the environment–economy link in belt and road initiative countries," Energy, Elsevier, vol. 239(PE).
    15. Zheng, Zhun & Lisovskiy, Alexander & Vasa, László & Strielkowski, Wadim & Yang, Yanwu, 2023. "Resources curse and sustainable development perspective: Fresh evidence from oil rich countries," Resources Policy, Elsevier, vol. 85(PA).
    16. Wang, Zihan & Chen, Xi & Ullah, Sami & Abbas, Shujaat, 2023. "Resource curse or blessing? Evaluating the role of natural resource, social globalization, and environmental sustainability in China," Resources Policy, Elsevier, vol. 85(PA).
    17. Thomas C. Kinnaman, 2023. "A New Perspective on the Natural Resource Curse," World, MDPI, vol. 4(4), pages 1-14, October.
    18. Galiana-Carballo, C. & Rivera-Ferre, M.G. & Méndez, P.F. & Palau-Salvador, G., 2024. "Reducing fossil fuel dependency in smallholding farming in l'Horta de València, Spain: A socio-metabolic approach," Ecological Economics, Elsevier, vol. 217(C).
    19. Apergis, Nicholas & Katsaiti, Marina-Selini, 2018. "Poverty and the resource curse: Evidence from a global panel of countries," Research in Economics, Elsevier, vol. 72(2), pages 211-223.
    20. Boulanouar, Zakaria & Essid, Lobna, 2023. "Extending the resource curse hypothesis to sustainability: Unveiling the environmental impacts of Natural resources rents and subsidies in Fossil Fuel-rich MENA Countries," Resources Policy, Elsevier, vol. 87(PA).
    21. Wang, Bo & Yang, Haoting & Bi, Chunyu & Feng, Yanchao, 2023. "Green infrastructure and natural resource utilization for green development in selected belt and road initiative countries," Resources Policy, Elsevier, vol. 85(PA).
    22. Guo, Yating & Wong, Wing-Keung & Su, Nan & Ghardallou, Wafa & Orosco Gavilán, Juan Carlos & Uyen, Pham Thi Minh & Cong, Phan The, 2023. "Resource curse hypothesis and economic growth: A global analysis using bootstrapped panel quantile regression analysis," Resources Policy, Elsevier, vol. 85(PA).
    23. Khalid Adnan Saeed & Muhammad Shafiullah, 2021. "Revisiting the natural resource curse: A cross-country growth study," Cogent Economics & Finance, Taylor & Francis Journals, vol. 9(1), pages 2000555-200, January.
    24. Yang, Jinxuan & Rizvi, Syed Kumail Abbas & Tan, Zhixiong & Umar, Muhammad & Koondhar, Mansoor Ahmed, 2021. "The competing role of natural gas and oil as fossil fuel and the non-linear dynamics of resource curse in Russia," Resources Policy, Elsevier, vol. 72(C).
    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. Wang, Zhuo & Li, Haoyuan & Zhang, Yuan, 2024. "Sustainability education and resource curse control in the selected resource-rich economies," Resources Policy, Elsevier, vol. 97(C).
    2. Dong, Xinzhong & Wang, Ying, 2024. "Intellectual property, resource curse, and the path to sustainable investment in China," Resources Policy, Elsevier, vol. 97(C).
    3. Shang, Yunfeng & Zong, Yi, 2024. "Role of e-commerce for promoting sustainability in the mining sector," Resources Policy, Elsevier, vol. 90(C).
    4. Wang, Chuangang & Li, Xin, 2024. "Optimizing the utilization of mineral assets and human resources for enhanced social welfare and sustainable development," Resources Policy, Elsevier, vol. 90(C).
    5. Liu, Xiaoxia & Yang, Ming & Shao, Zongyuan & Liu, Liyan & Gu, Weiyu, 2024. "Assessment of impacts of mineral raw material resource efficiency on enterprise performance," Resources Policy, Elsevier, vol. 90(C).
    6. Du, Ruoyao, 2024. "Studying the impact of investments in critical minerals and energy transition in transportation sector in Asia," Resources Policy, Elsevier, vol. 96(C).
    7. Xiaoping, Chen & Yanqiu, Wu, 2024. "Cultivating green growth: The interplay of communication and resource efficiency in East Asia," Resources Policy, Elsevier, vol. 90(C).
    8. Liu, Wen & Xu, Jiaqi & Cao, Lei & Li, Fuchang, 2024. "Towards iron ore mining sustainability and low-carbon transformation: Policies and implications," Resources Policy, Elsevier, vol. 90(C).
    9. Li, Dongxia, 2024. "Green finance, fossil fuel efficiency, and sustainable development in OECD," Resources Policy, Elsevier, vol. 98(C).
    10. Lai, Lifeng & Li, Xin, 2024. "Resource curse, public crisis, and the road to sustainable development in emerging Asia," Resources Policy, Elsevier, vol. 90(C).
    11. Zhou, Gang & Bahn, Gwonsoo & Lao, Jian & Zhang, Yuan, 2024. "COP28 targets for mobilizing private investment in fossil fuels extraction industry to cope with the climate change," Resources Policy, Elsevier, vol. 97(C).
    12. Xu, Jin & Liu, Chengjun & Dou, Gang & Cai, Yunfei, 2024. "Mineral resource management in Chinese rural areas: Policy assessment for green economic growth," Resources Policy, Elsevier, vol. 90(C).
    13. Dai, Xiajing & Zhang, Junjie, 2024. "China's green development journey through resource rent optimization and green finance policies," Resources Policy, Elsevier, vol. 90(C).
    14. Dou, Jin & Wang, Zhuo & Zhang, Yuan, 2024. "Study of the role of social prosperity on private investment in fossil fuels transition in the post COP28 era," Resources Policy, Elsevier, vol. 97(C).
    15. Zhang, Ming & Wei, Xuejiao, 2024. "Resource efficiency, cultural industry, and green economic growth: A synergistic approach," Resources Policy, Elsevier, vol. 90(C).
    16. Liu, Donghui & Shang, Zhaoyan & Lin, Tongzhi & Yue, Shuguang, 2024. "Balancing law, sustainability, and the economy in China's responsible mineral resource extraction path," Resources Policy, Elsevier, vol. 90(C).
    17. Li, Jianying & Fang, Zhi, 2024. "Navigating COVID-19 disruptions for resilience and green growth in mineral resource trade," Resources Policy, Elsevier, vol. 90(C).
    18. Liu, Cheng & Dai, Guanying & Tu, Hong, 2024. "Study of a triple bottom line perspective to reach a sustainable development model for critical minerals using financial development," Resources Policy, Elsevier, vol. 90(C).
    19. Li, Jie & Zou, Xu, 2024. "Investment in the mining industry: Sustainable education and green literacy concepts," Resources Policy, Elsevier, vol. 98(C).
    20. Shang, Yunfeng & Xie, Yani & Chen, Wenjie, 2024. "Addressing resource scarcity and fostering sustainability through environmental education in Asia," Resources Policy, Elsevier, vol. 90(C).

    More about this item

    Keywords

    Resource curse phenomenon; Digital economy; Oil rent; ICT devices imports; BRI;
    All these keywords.

    JEL classification:

    • Q32 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation - - - Exhaustible Resources and Economic Development
    • Q41 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Demand and Supply; Prices
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • O19 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - International Linkages to Development; Role of International Organizations
    • F54 - International Economics - - International Relations, National Security, and International Political Economy - - - Colonialism; Imperialism; Postcolonialism
    • Q48 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Government Policy

    Statistics

    Access and download statistics

    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:97:y:2024:i:c:s0301420724006494. 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.