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Investigating the spill overs and connectedness between financial globalization, high-tech industries and environmental footprints: Fresh evidence in context of China

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  • Shahzad, Umer
  • Ferraz, Diogo
  • Nguyen, Huu-Huan
  • Cui, Lianbiao

Abstract

China faces the challenge of promoting high-tech industries and concomitantly reduces ecological footprints. This research analyzes the directional spillover impacts and connectedness for financial and trade globalization, high-tech industries, and environmental footprints of China. The authors used the data of financial globalization, trade globalization, economic complexity, middle and high-tech industrial contribution, and ecological footprint of China throughout 1996Q1 to 2019Q4. The empirics contribute to the debate on the impacts of the high technology industry, financial globalization for the environmental sustainably in the era of the digital economy. The study finds positive spillover effects from financial globalization (FGI), and economic complexity towards ecological footprints. Further, the high technology industrial contribution has a less significant impact on reducing environmental footprints. Overall, the findings are robust to the presence of structural change effects and the cleaner production objectives for China's case. Concomitantly, the empirical findings allow us to report innovative conclusions and implications regarding the sustainable development goals (SDG-7, 10), high-industry, and environmental sustainability in China.

Suggested Citation

  • Shahzad, Umer & Ferraz, Diogo & Nguyen, Huu-Huan & Cui, Lianbiao, 2022. "Investigating the spill overs and connectedness between financial globalization, high-tech industries and environmental footprints: Fresh evidence in context of China," Technological Forecasting and Social Change, Elsevier, vol. 174(C).
    • Handle: RePEc:eee:tefoso:v:174:y:2022:i:c:s0040162521006387
    DOI: 10.1016/j.techfore.2021.121205
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    More about this item

    Keywords

    Financial globalization; Ecological footprint; High-tech industries; China; Sustainable development goals;
    All these keywords.

    JEL classification:

    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • C32 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes; State Space Models
    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling

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