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The role of fiscal decentralization and technological innovations in curbing sulfur dioxide emissions: formulating SDGs policies for China

Author

Listed:
  • Ayoub Zeraibi

    (Xian Jiaotong University)

  • Atif Jahanger

    (Hainan University
    Institute of Open Economy)

  • Muhammad Usman

    (Wuhan University)

  • Daniel Balsalobre-Lorente

    (University of Castilla-La Mancha
    Czech University of Life Sciences Prague
    University of Alicante)

  • Tomiwa Sunday Adebayo

    (Cyprus International University
    New Uzbekistan University)

  • Mustafa Kamal

    (Saudi Electronic University)

Abstract

Since the significance of fiscal decentralization and technological innovations cannot be ignored in monitoring the targets of environmental-related sustainable development goals, a full picture of its relationship with environmental quality is vigorous. Thus, this study aims to analyze the influence of financial centralization and technological development on environmental quality in China during the period from 2000 to 2020. The results of this study indicate the positive role of fiscal decentralization in ecological damages by increasing sulfur dioxide emissions. Moreover, technological innovations assist to diminish the pollution levels. The study also confirmed the association between environmental degradation and economic growth in an inverted U-shaped environment Kuznets curve hypothesis. The policy targeting financial decentralization, technological innovation, and economic growth significantly alter sulfur dioxide emissions and vice versa. The progress of this research also has important political effects by restructuring government expenditures and making them more effective by balancing local development and enhancing the quality of the environment. Regarding policy ramifications, we believe that to address declining ecological quality, China should develop measures to diminish the levels of environmental pollution by encouraging an energy-efficient system. Furthermore, it is critical to explain duties at dissimilar government levels to efficiently fulfill the objectives of energy-saving functions and low sulfur emissions.

Suggested Citation

  • Ayoub Zeraibi & Atif Jahanger & Muhammad Usman & Daniel Balsalobre-Lorente & Tomiwa Sunday Adebayo & Mustafa Kamal, 2024. "The role of fiscal decentralization and technological innovations in curbing sulfur dioxide emissions: formulating SDGs policies for China," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 26(8), pages 19659-19684, August.
    • Handle: RePEc:spr:endesu:v:26:y:2024:i:8:d:10.1007_s10668-023-03431-6
    DOI: 10.1007/s10668-023-03431-6
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