Intermediating effect of mineral resources on renewable energy amidst globalization, financial development, and technological progress: Evidence from globe based on income-groups

All parties have taken a much closer look at the critical impact of renewable energy (RE) consumption in reducing climate-related anthropogenic problems. Although mineral resources play an important role in stimulating RE due to their use in the installation of RE capacity, the role of mineral resources has not received more attention. In view of this, the study examines the intermediating role of mineral resource (MR) use on RE for 119 countries from 1996 to 2019 using globalization (GI), financial development (FD), technological progress (TI), industrial structure upgrade (IS), and applying the ARDL approach. The outcomes indicate that (i) FD has a negative effect on RE in high-income countries, while mineral extraction and technological progress promote RE; (ii) in middle-income countries, FD promotes RE, while GI and MR constrain the development of RE; (iii) the interaction between MR and FD is negative, suggesting that MR may limit the positive effect of financialization on RE. Thus, the outcomes highlight that MR and FD have a global effect on RE. Therefore, policymakers should consider MR and FD as important factors in supporting the transition to clean energy.