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Green Investment, Technological Progress, and Green Industrial Development: Implications for Sustainable Development

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  • Mingwen Chen

    (Economics and Management School, Wuhan University, Wuhan 430072, China)

  • RongJia Chen

    (Economics and Management School, Wuhan University, Wuhan 430072, China
    School of Economics, Beijing Technology and Business University, Beijing 100037, China)

  • Shiyong Zheng

    (Economics and Management School, Wuhan University, Wuhan 430072, China
    School of Business, Guilin University of Electronic Technology, Guilin 541004, China
    College of Digital Economics, Nanning University, Nanning 530000, China
    Management School, Hainan University, Haikou 570100, China)

  • Biqing Li

    (School of Business, Guilin University of Electronic Technology, Guilin 541004, China)

Abstract

Environmental reformation of old-fashioned sectors and the establishment of new pro-ecological businesses via green investment are the main driving forces behind the revolution in the Chinese industrial sector. Green investment aids in the growth of environmentally friendly industries. Hence, the primary objective of the analysis is to investigate the impact of green investment and technological progress on green industrial development. The results of the unit root tests encourage us to apply the ARDL model. The short and long-run estimates attached to R&D expenditures are positively significant, confirming that increasing R&D expenditures help improve the industrial structure. Similarly, the short and long-run estimates attached to green finance investment are positively significant, signifying that green investment benefits the industrial structure. Empirical findings show that technology significantly aggravates industrial structure development in only the long run. Thus, for green industrial development in China, there is a need to increase green investment and technological development up to top-level design.

Suggested Citation

  • Mingwen Chen & RongJia Chen & Shiyong Zheng & Biqing Li, 2023. "Green Investment, Technological Progress, and Green Industrial Development: Implications for Sustainable Development," Sustainability, MDPI, vol. 15(4), pages 1-12, February.
    • Handle: RePEc:gam:jsusta:v:15:y:2023:i:4:p:3808-:d:1073902
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    Cited by:

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    4. Tonggong Zhang & Zhe Ma & Yingshi Shang, 2023. "Higher Education, Technological Innovation, and Green Development—Analysis Based on China’s Provincial Panel Data," Sustainability, MDPI, vol. 15(5), pages 1-17, February.
    5. Xing Liu & Xiaojing Zhang & Aliasghar Baziar, 2023. "Hybrid Machine Learning and Modified Teaching Learning-Based English Optimization Algorithm for Smart City Communication," Sustainability, MDPI, vol. 15(15), pages 1-20, July.

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