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How do industrial value-added and technical innovation impact environmental deterioration in Asian nations?

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  • Wen-Cheng Lu
  • Kuang-Hsien Wang

Abstract

This study analysed the impact of technological innovation and industrial value added on CO2 emissions in 14 Asian countries from 1995 to 2019. The results showed that both technological innovation and GDP are important determinants of environmental degradation. More technological innovation improves environmental quality, but economic growth harms the environment. The unidirectional causal relations was found running from technological innovation to CO2 emissions, from energy consumption to GDP, from technological innovation to GDP, from GDP, energy consumption to industrial value added. The study recommends that these economies should upgrade energy efficiency by enhancing technological innovation, implementing industrial structure change by increasing industrial value added, and changing traditional energy into renewable or clean energy to promote GDP growth. These substantial conclusions have a remarkable environmental policy and economic sustainability implications.

Suggested Citation

  • Wen-Cheng Lu & Kuang-Hsien Wang, 2024. "How do industrial value-added and technical innovation impact environmental deterioration in Asian nations?," International Journal of Research, Innovation and Commercialisation, Inderscience Enterprises Ltd, vol. 5(2), pages 107-126.
    • Handle: RePEc:ids:ijrici:v:5:y:2024:i:2:p:107-126
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