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Does eco-innovation and green investment limit the CO2 emissions in China?

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  • Tolassa Temesgen Hordofa
  • Hieu Minh Vu
  • Apichit Maneengam
  • Eko Priyo Purnomo
  • Phan The Cong
  • Song Liying

Abstract

The continuous upsurge in worldwide economic development and human activities has intensified CO2 emissions that highlighted the significant role of eco-innovation and green investment in curbing CO2 emissions. The study aims to explore the impact of eco-innovation and green investment on CO2 emissions by using the China dataset for time period 1990–2019. The study adopts the ARDL approach. The study used two proxies to determine the impact of eco-innovation, namely environment-related technologies and patents. The empirical estimates of the ARDL approach confirm the negative impact of eco-innovation and green investment on CO2 emissions confirming that these determinants result in limiting CO2 emissions in China. Based on these findings, the study suggests strengthening environmentally friendly policies and the advancement of green investment to mitigate CO2 emissions.

Suggested Citation

  • Tolassa Temesgen Hordofa & Hieu Minh Vu & Apichit Maneengam & Eko Priyo Purnomo & Phan The Cong & Song Liying, 2023. "Does eco-innovation and green investment limit the CO2 emissions in China?," Economic Research-Ekonomska Istraživanja, Taylor & Francis Journals, vol. 36(1), pages 634-649, March.
    • Handle: RePEc:taf:reroxx:v:36:y:2023:i:1:p:634-649
    DOI: 10.1080/1331677X.2022.2116067
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    Cited by:

    1. Luo, Rui & Chen, Ping & Wang, Yachao, 2024. "Green investment products, consumer behavior, and regional carbon emissions levels," Finance Research Letters, Elsevier, vol. 66(C).
    2. Musah, Mohammed & Onifade, Stephen Taiwo & Ankrah, Isaac & Gyamfi, Bright Akwasi & Amoako, George Kofi, 2024. "Achieving net-zero emission target in Africa: Are sustainable energy innovations and financialization crucial for environmental sustainability of sub-Saharan African state?," Applied Energy, Elsevier, vol. 364(C).
    3. Lv, Zhaojiang & Chen, Lan & Ali, Syed Ahtsham & Muda, Iskandar & Alromaihi, Abdullah & Boltayev, Jurabek Yusufovich, 2024. "Financial technologies, green technologies and natural resource nexus with sustainable development goals: Evidence from resource abundant economies using MMQR estimation," Resources Policy, Elsevier, vol. 89(C).
    4. Wan, Muchun & Mughal, Nafeesa & Peng, Tao & Yepez Peña, Miguel Angel, 2024. "Resources extraction and access to clean energy a curse or blessing for the economy? Middle-income economies case study," Resources Policy, Elsevier, vol. 88(C).
    5. Aslam, Naveed & Yang, Wanping & Arslan, Muhammad & Ashraf, Bilal, 2024. "Environmental regulations as a solution for energy security risk and energy gap: Evidence from highly energy intensive economies," Applied Energy, Elsevier, vol. 374(C).

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