IDEAS home Printed from https://ideas.repec.org/a/eee/jrpoli/v92y2024ics0301420724004148.html
   My bibliography  Save this article

Does natural resources rent promote carbon neutrality: The role of digital finance

Author

Listed:
  • Chen, Jiamin
  • Chen, Yuwei

Abstract

China is regarded as the leading carbon emitter country in the world. Therefore, China has been striving to achieve carbon neutrality. To move towards carbon neutrality targets, there is a need to understand/explore the drivers of carbon emissions. Hence, this empirical investigation discerns the impact of natural resources rent, digital finance, and the combined effect of natural resources rent and digital finance on carbon emissions for China for the period of 1990–2022. This study utilizes a novel augmented ARDL approach. Our empirical results reveal that natural resources escalate carbon emissions during the short-run and long-run. On the contrary, digital finance curbs emissions across time horizons. Further, the combined impact of natural resources and digital finance is negative, indicating that natural resources amid digital finance impede carbon emissions in China. We propose policymakers should introduce policies to discourage natural resource extraction. For this purpose, taxes on natural resource extraction industries may be applied.

Suggested Citation

  • Chen, Jiamin & Chen, Yuwei, 2024. "Does natural resources rent promote carbon neutrality: The role of digital finance," Resources Policy, Elsevier, vol. 92(C).
    • Handle: RePEc:eee:jrpoli:v:92:y:2024:i:c:s0301420724004148
    DOI: 10.1016/j.resourpol.2024.105047
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0301420724004148
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.resourpol.2024.105047?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jrpoli:v:92:y:2024:i:c:s0301420724004148. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/inca/30467 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.