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Natural resources utilization, ICT growth, and renewable energy consumption: Pathways to sustainable development in China

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  • Xie, Xin
  • Liu, Yufeng
  • Jiang, Xiaoxi
  • Wang, Zi Xuan

Abstract

Economic progress drives industrial development, leading to increased natural resource extraction. The excessive use of natural resources through practices such as cultivation, deforestation, and excavation can harm ecological quality. In line with this, the present study examines the influence of natural resources on CO2 emissions in China. The study covers 31 years, from 1990 to 2021, and employs the Nonlinear Autoregressive Distributive Lag (NARDL) methodology. The empirical findings indicate that a positive shock in natural resources reduces CO2 emissions, while a negative shock in natural resources increases CO2 emissions. Additionally, the study reveals that information and communication technology (ICT) and foreign direct investment (FD) contribute to the rise in CO2 emissions. Causality analysis further confirms these associations. Based on the empirical investigations, it is deduced that the economy should devise strategies to manage natural resources effectively. Furthermore, adopting renewable energy emerges as a crucial approach to mitigate CO2 emissions in the studied economy.

Suggested Citation

  • Xie, Xin & Liu, Yufeng & Jiang, Xiaoxi & Wang, Zi Xuan, 2024. "Natural resources utilization, ICT growth, and renewable energy consumption: Pathways to sustainable development in China," Resources Policy, Elsevier, vol. 89(C).
    • Handle: RePEc:eee:jrpoli:v:89:y:2024:i:c:s0301420723012734
    DOI: 10.1016/j.resourpol.2023.104562
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