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Does development in venture capital investments influence green growth?

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  • Maiti, Moinak

Abstract

The present study applied dynamic panel threshold models to examine if development in the venture capital investments could lead to green growth using different stages of venture capital fundings as threshold variables, and panel data from 23 countries from 2007 to 2015. The study estimates show that 1 % increase in the Seed Capital on the national average would lead to an increase in the overall CO2 Productivity. Whereas a percent increase both in the early stage and later stage venture capital investments on the national average would lead to increases in the share of environmental related technology innovations and renewable energy supply. However, after controlling for “enhanced environmental policy”, seed capital and later stage venture capital investments are encouraged at the aggregate country level to increase CO2 productivity. Likewise, to increase the share of green technology innovation and renewable energy supply, venture capital investment is encouraged at the aggregate country level, at the later and early stages respectively.

Suggested Citation

  • Maiti, Moinak, 2022. "Does development in venture capital investments influence green growth?," Technological Forecasting and Social Change, Elsevier, vol. 182(C).
    • Handle: RePEc:eee:tefoso:v:182:y:2022:i:c:s0040162522004024
    DOI: 10.1016/j.techfore.2022.121878
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    6. Chatzistamoulou, Nikos & Dimakopoulou, Andriana G., 2025. "Do climate change policy instruments loom like the sword of Damocles over green technology independence to achieve green growth and sustainability in Europe?," Technological Forecasting and Social Change, Elsevier, vol. 215(C).
    7. Islam, Md. Monirul & Shahbaz, Muhammad & Sohag, Kazi, 2025. "Financial innovation and clean energy technology development: Policy vs. geopolitics," Renewable Energy, Elsevier, vol. 246(C).
    8. Hu, Jinjin & Huo, Dong & Wu, Delin, 2024. "Digital economy development and venture capital networks: Empirical evidence from China," Technological Forecasting and Social Change, Elsevier, vol. 203(C).
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    10. Bendig, D. & Brüss, L. & Degen, F., 2025. "Entrepreneurship in the renewable energy sector: A systematic literature review of types, characteristics, and sustainability impacts," Renewable and Sustainable Energy Reviews, Elsevier, vol. 212(C).
    11. Yu, Peiyou & Dai, Hui & Zhu, Jianhua & Hamori, Shigeyuki & Dong, Rebecca Kechen & Yue, Xiaoguang, 2024. "How does venture capital play a role in corporate green innovation? Evidence from China," International Review of Economics & Finance, Elsevier, vol. 96(PB).
    12. Kolte, Ashutosh & Festa, Giuseppe & Ciampi, Francesco & Meissner, Dirk & Rossi, Matteo, 2023. "Exploring corporate venture capital investments in clean energy—a focus on the Asia-Pacific region," Applied Energy, Elsevier, vol. 334(C).
    13. Dong, Qiutong & Balsalobre-Lorente, Daniel & Syed, Qasim Raza, 2025. "The critical role of financial inclusion in green growth: Evidence from BRICS countries," Research in International Business and Finance, Elsevier, vol. 76(C).
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    15. Niu, Peng & Yang, Yujia & Sun, Lirong, 2023. "High quality imports and green innovation," Innovation and Green Development, Elsevier, vol. 2(2).

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