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Innovation, natural resources abundance, climate change and green growth in agriculture

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  • Ren, Xiaocong
  • He, Jun
  • Huang, Zilong

Abstract

The growing concerns over climate change and the existence of the resource curse hypothesis in several resource-rich countries highlight the importance of green growth. Similarly, promoting green growth in agriculture is essential for addressing environmental problems, realizing sustainable development, and building a sustainable future. However, none of the studies emphasized the specific phenomena of the agriculture sector. Therefore, the core objective of this paper is to explore the role of innovation, natural resource abundance, and climate change in promoting green growth in the agriculture sector of China. The study used time series data ranging from 1970 to 2021 and applied cointegration and spectral causality techniques for empirical investigation. Robustness of the results was ensured using Bayesian regression. The findings of the study indicated that innovation significantly improves green growth in agriculture. It is also found that the proxy of climate change also plays a significant positive role in the green growth of agriculture. Conversely, the role of natural resource abundance in green agricultural growth has been found to be negative, which confirms the existence of a resource curse in the agriculture sector of China. Notably, all variables in the model demonstrated a positive impact on green growth in agriculture, except for natural resource abundance. The findings provide reasonable insights for policy development related to innovation, natural resources, and agriculture sector growth. The study concludes with key suggestions for policy formulation.

Suggested Citation

  • Ren, Xiaocong & He, Jun & Huang, Zilong, 2023. "Innovation, natural resources abundance, climate change and green growth in agriculture," Resources Policy, Elsevier, vol. 85(PA).
    • Handle: RePEc:eee:jrpoli:v:85:y:2023:i:pa:s0301420723006815
    DOI: 10.1016/j.resourpol.2023.103970
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