How does natural resource abundance affect green total factor productivity in the era of green finance? Global evidence. (March 2023)

• Record Type: Journal Article
• Authors: Liu, Yang; Wang, Jianda; Dong, Kangyin; Taghizadeh-Hesary, Farhad
• Is Part Of: Resources policy. Volume 81(2023)
• Publication Date: 2023-03
• Subjects: Natural resource abundance -- Green finance -- GTFP -- Moderating effect -- Resource curse; Mines and mineral resources -- Periodicals; Ressources minérales -- Périodiques; Ressources naturelles -- Gestion -- Périodiques; Environnement -- Politique gouvernementale -- Périodiques; 333.8
• DOI: 10.1016/j.resourpol.2023.103315
• Languages: English
• ISSNs: 0301-4207

Abstract

Abstract: Assessing the impact of natural resources on green economic development in a global context and exploring the impact mechanism are important for addressing the resource curse and achieving Sustainable Development Goals (SDGs). Therefore, this study constructs an econometric model to explore the impact of natural resource abundance (NRA) on green total factor productivity (GTFP) based on a balanced panel dataset of 149 countries from 2001 to 2019. In addition, this study further performs heterogeneity and asymmetry checks and examines the moderating effect of green finance. The main findings are: (1) NRA inhibits the increase of GTFP, i.e., the resource curse hypothesis is verified; (2) the inhibitory effect of NRA on GTFP is greater in regions with higher green productivity than in other regions; (3) green finance can effectively mitigate the inhibitory effect of NRA on GTFP. Finally, the results of this paper provide valuable reference suggestions for relevant policymakers. Highlights: We explore the nexus between natural resource abundance (NRA) and green total factor productivity (GTFP). We check the heterogeneity of NRA on GTFP. We further investigate the moderating effect of green finance. NRA has an inhibitory effect on the increase of GTFP. Green finance can mitigate the inhibitory effect of NRA on GTFP.