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Patents on environment-related technologies, research and development, and sustainable development: Investigating the moderating role of climate finance in OECD and non-OECD countries

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  • Saidi, Hichem
  • Ozturk, Ilhan
  • Hakimi, Abdelaziz

Abstract

This study examines the association between environment-related technological patents on sustainable development in OECD and non-OECD countries, while exploring the moderating role of climate finance in this relationship. Using panel data from 1990 to 2020, this study applies fixed and random effects models alongside Method of Moments Panel Quantile Regression to capture heterogeneous effects. The empirical results from the conventional panel data models suggest that environment-related technological patents are positively associated with sustainable development, particularly within the overall sample and among OECD countries. Furthermore, climate finance shows both a direct association with sustainable development and a moderating role that strengthens the link between environmental innovation and sustainability outcomes. Findings from the Method of MM-PQR reveal that these associations vary across different quantiles of the sustainable development distribution and between country groups. The results of the robustness checks indicate that climate finance's moderating effect is not sensitive to the lag structure, and the main associations remain valid.

Suggested Citation

  • Saidi, Hichem & Ozturk, Ilhan & Hakimi, Abdelaziz, 2025. "Patents on environment-related technologies, research and development, and sustainable development: Investigating the moderating role of climate finance in OECD and non-OECD countries," Finance Research Letters, Elsevier, vol. 86(PE).
    • Handle: RePEc:eee:finlet:v:86:y:2025:i:pe:s1544612325019002
    DOI: 10.1016/j.frl.2025.108646
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