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Assessing the Link between Environmental Quality, Green Finance, Health Expenditure, Renewable Energy, and Technology Innovation

Author

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  • Rabab Triki

    (Management Information Systems Department, Applied College, University of Ha’il, Hail City P.O. Box 2440, Saudi Arabia)

  • Bassem Kahouli

    (Management Information Systems Department, Applied College, University of Ha’il, Hail City P.O. Box 2440, Saudi Arabia
    Higher Institute of Finance and Taxation, University of Sousse, Sousse 4054, Tunisia)

  • Kais Tissaoui

    (Management Information Systems Department, Applied College, University of Ha’il, Hail City P.O. Box 2440, Saudi Arabia
    The International Finance Group, Faculty of Economic Sciences and Management of Tunis, University of Tunis El Manar, Tunis 1068, Tunisia)

  • Haykel Tlili

    (Management Information Systems Department, Applied College, University of Ha’il, Hail City P.O. Box 2440, Saudi Arabia)

Abstract

This study uses data from 1980 to 2020 to analyze the explanatory power of renewable energy (RE), green finance (GF), and public health expenditure (PUHE) for environmental quality (ecological footprint: EF) in the Kingdom of Saudi Arabia (KSA). In order to examine the long- and short-term effects, we ran both linear autoregressive distribution (ARDL) and nonlinear autoregressive distribution (NARDL) models. The empirical results showed that, when estimating the ARDL model, all variables have an impact on the environment’s long-term quality, which has increased. Furthermore, the NARDL model supports the existence of significant positive or negative shocks that support an unbalanced relationship with the movement of variables over the short and long term. Overall, the study demonstrates the critical role of factors that can enhance the environment in the KSA setting. In light of this, we advise policymakers to encourage the use of additional renewable energy sources and to expedite their efforts to do so in order to slow down environmental damage.

Suggested Citation

  • Rabab Triki & Bassem Kahouli & Kais Tissaoui & Haykel Tlili, 2023. "Assessing the Link between Environmental Quality, Green Finance, Health Expenditure, Renewable Energy, and Technology Innovation," Sustainability, MDPI, vol. 15(5), pages 1-18, February.
    • Handle: RePEc:gam:jsusta:v:15:y:2023:i:5:p:4286-:d:1082797
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    References listed on IDEAS

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    1. Haykel Tlili & Kais Tissaoui & Bassem Kahouli & Rabab Triki, 2024. "How volatility in the oil market and uncertainty shocks affect Saudi economy: a frequency approach," Palgrave Communications, Palgrave Macmillan, vol. 11(1), pages 1-24, December.
    2. Yupu Wang & Md. Qamruzzaman & Sylvia Kor, 2023. "Greening the Future: Harnessing ICT, Innovation, Eco-Taxes, and Clean Energy for Sustainable Ecology—Insights from Dynamic Seemingly Unrelated Regression, Continuously Updated Fully Modified, and Cont," Sustainability, MDPI, vol. 15(23), pages 1-26, November.
    3. Mingzhao Xiong & Wenqi Li & Chenjie Jenny & Peixu Wang, 2023. "Financial Inclusion through Digitalization: Improving Emerging Drivers of Industrial Pollution—Evidence from China," Sustainability, MDPI, vol. 15(13), pages 1-17, June.

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