Unpacking the stance of upgradation of industrial structure, technological trade, and sustainable development in top‐ten high‐income countries

The industrial structure plays a key role in economic and sustainable development, global competitiveness, and prosperity. Hence, it is crucial to understand the current industrial structure and technological trade in the top‐ten high‐income countries. Therefore, the aspiration of this research is to unpack the stance of upgradation of industrial structure, technological trade, and sustainable development. To this end, the second‐generation estimation approaches were adopted for the Top‐ten high‐per‐capita high‐income countries, namely, Australia, Belgium, Denmark, Germany, France, Luxembourg, Singapore, Norway, Sweden, and the United States from 2001 to 2018. The results drawn from the Driscoll–Kraay standard errors suggest that the current industrial structure contributes to carbon footprint and increases environmental degradation. In the same way, financial development increases environmental degradation and poses a threat to sustainable development. Contrarily, trade is negatively related to carbon footprint and curbing environmental degradation. Globalization and renewable energy mitigate carbon footprint and bring sustainable development. The HDI has a positive but insignificant relationship with carbon footprint. Additionally, the causation illustrates a reciprocal interaction between carbon footprint and trade; however, no causal link was detected between industrialization and carbon footprint. The findings provide valuable insights for policymakers and practitioners to formulate effective policies.