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The nexus between natural resource development, trade policy uncertainty, financial technology and poverty in China: Contributing to the realization of SDG 1

Author

Listed:
  • Yan, Jiale
  • Işık, Cem
  • Gu, Xiao

Abstract

Population poverty inhibits China's economic growth. Reducing poverty in the face of risk and uncertainty has been a priority for the Chinese government in recent years. And it is an important part of realizing the Sustainable Development Goal 1. The paper first uses entropy method and TOPSIS to comprehensively evaluate the Financial Technology (Fintech) index. This paper uses the autoregressive distributed lag (ARDL) bounds test to measure the long-term relationship. This paper also uses a nonlinear autoregressive distributed lag (NARDL) model to examine the asymmetric impact of trade policy uncertainty (TPU), natural resource development (NRD) and fintech on poverty reduction. For the robustness of the model, this paper uses three parametric methods FMOLS, DOLS and CCR. The findings of this paper are as follows. Increases or decreases in TPU can have a negative impact on poverty reduction. It brings greater impact when it increases. A reduction in the level of NRD and an increase in the fintech index will promote poverty reduction policies. An increase in the level of NRD and a decrease in the fintech index have opposite effects. The results of FMOLS, DOLS and CCR support these conclusions. The findings of this research provide effective suggestions for the formulation of future poverty eradication policies and the promotion of fintech development in China.

Suggested Citation

  • Yan, Jiale & Işık, Cem & Gu, Xiao, 2024. "The nexus between natural resource development, trade policy uncertainty, financial technology and poverty in China: Contributing to the realization of SDG 1," Resources Policy, Elsevier, vol. 95(C).
    • Handle: RePEc:eee:jrpoli:v:95:y:2024:i:c:s030142072400521x
    DOI: 10.1016/j.resourpol.2024.105154
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