Unleashing the Influence Mechanism of Technology Innovation and Human Development for Ecological Sustainability in Emerging Countries

The strife for more incredible and sustainable human development is often associated with compromised environmental standards. Early growth may increase pollutant emissions that can be regulated later. Human development, the main ingredient of sustainable development, may increase emissions or reduce them through technological improvements. The emerging seven (E7) economies provide an intriguing case to test the direct and indirect impact of human development on CO2 emissions to confirm the nexus in the early stage of industrialization. The study applies the structural equation approach to investigate the relationship between the human development index (HDI), green technological innovations, and CO2 emissions in E7 economies over the period 1990–2021. Our findings indicate that HDI increases consumption-based CO2 emissions both directly and indirectly, where even the mediating impact of innovations is also positive, thereby confirming the fact that HDI and innovations both may have deteriorated implications for environmental performance at the earlier stages of development. The study findings imply that the policymakers of the transition economies need to rethink their policy choices regarding controlling pollution and safeguarding the environment. The study’s conclusion has essential ramifications for reducing pollution through enacting HDI and supporting innovations.