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Balancing law, sustainability, and the economy in China's responsible mineral resource extraction path

Author

Listed:
  • Liu, Donghui
  • Shang, Zhaoyan
  • Lin, Tongzhi
  • Yue, Shuguang

Abstract

This study assesses the impact of the rule of law, transparency, green economic growth, foreign direct investment (FDI), innovation, and green technology imports on carbon dioxide (CO2) emissions from mineral extraction in China (1989–2020). Utilizing data from the China Statistical Yearbook and international databases, it identifies the positive effects of the rule of law and transparency on sustainability in China's mineral extraction. A 1 % increase in these factors corresponds to significant CO2 reductions, indicating the effectiveness of regulations. The green growth index is also associated with positive CO2 reductions. Surprisingly, foreign direct investment (FDI), innovation (patent applications), and a lack of green patents reveal unexpected environmental impacts. Policy recommendations encompass reinforcing legal frameworks, fostering green economic growth, aligning FDI with eco-friendly practices, incentivizing green innovations, and promoting green technology imports to enhance sustainability in China's mineral extraction sector.

Suggested Citation

  • Liu, Donghui & Shang, Zhaoyan & Lin, Tongzhi & Yue, Shuguang, 2024. "Balancing law, sustainability, and the economy in China's responsible mineral resource extraction path," Resources Policy, Elsevier, vol. 90(C).
    • Handle: RePEc:eee:jrpoli:v:90:y:2024:i:c:s0301420724001508
    DOI: 10.1016/j.resourpol.2024.104783
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    More about this item

    Keywords

    Mineral extraction industry; Green growth; Green tech imports; Rule of law; Transparency; China;
    All these keywords.

    JEL classification:

    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East
    • K40 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - General
    • Q55 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Technological Innovation
    • Q32 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation - - - Exhaustible Resources and Economic Development
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products

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