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Green Economy Advancement: Evaluating the Role of Digitalization, Technological Innovation, and Natural Resources in Shaping Environmental Quality Amid Globalizations

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  • Tong Liu

    (Faculty of Social Science, The Chinese University of Hong Kong, Hong Kong 999077, China)

  • Ali Imran

    (Center for Socio-Economic Development Research, Lahore 54792, Pakistan)

Abstract

The extraction of excessive natural resources, as well as economic and social development, has created several ecological issues. Therefore, this study examines the effects of globalization (GLZN), digitalization (DGTZ), economic development (ECDV), natural resources use (NRRS), and technological innovation (TCIN) on ecological footprints (EFPR) in G10 economies from 2000 to 2021. We examined the cross-sectional dependence, lack of slope homogeneity, stationarity characteristics through the CIPS unit root test, and panel co-integration among the variables through the Westerlund test. We then used Pooled Mean Group Autoregressive Distributed Lag to examine the long-term and short-term associations, validated by the Hausman test. The empirical findings show that DGTZ and TCIN improve environmental quality by lowering EFPR. However, in G10 economies, ECDV, GLZN, and NRRS reduce environmental quality by increasing the impact of EFPR on the environment. Without sustainable practices, the extraction and consumption of natural resources lead to a higher EFPR, which indicates greater environmental strain. Moreover, the results indicate that TCIN and DGTZ are crucial for environmental protection in the G10; therefore, we should promote their use to maintain ecological sustainability in these economies.

Suggested Citation

  • Tong Liu & Ali Imran, 2024. "Green Economy Advancement: Evaluating the Role of Digitalization, Technological Innovation, and Natural Resources in Shaping Environmental Quality Amid Globalizations," Sustainability, MDPI, vol. 16(23), pages 1-22, December.
    • Handle: RePEc:gam:jsusta:v:16:y:2024:i:23:p:10673-:d:1537489
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    References listed on IDEAS

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