Cleaner Technology and Natural Resource Management: An Environmental Sustainability Perspective from China

Fiza Shaheen, Muhammad Saeed Lodhi, Joanna Rosak-Szyrocka, Khalid Zaman, Usama Awan, Muhammad Asif, Waqas Ahmed and Maria Siddique
Additional contact information
Fiza Shaheen: Department of Economics, The University of Haripur, Haripur 22620, Pakistan
Muhammad Saeed Lodhi: Department of Management Sciences, Abbottabad Campus, COMSATS University Islamabad, Abbottabad 22060, Pakistan
Joanna Rosak-Szyrocka: Faculty of Management, Czestochowa University of Technology, 42-200 Czestochowa, Poland
Khalid Zaman: Department of Economics, The University of Haripur, Haripur 22620, Pakistan
Usama Awan: Industrial Engineering and Management, Lappeenranta-Lahti University of Technology LUT, P.O. Box 20, FI-53851 Lappeenranta, Finland
Muhammad Asif: Department of Business Administration, Multan Campus, Air University, Multan 60650, Pakistan
Waqas Ahmed: Department of Economics, Government Post Graduate College Mansehra, Mansehra 21300, Khyber Pakhtunkhwa, Pakistan
Maria Siddique: Department of Economics, The University of Haripur, Haripur 22620, Pakistan

Clean Technol., 2022, vol. 4, issue 3, 1-23

Abstract: In economies, cleaner technology, increased demand for renewable energy, and more efficient use of natural resources contribute to meeting environmental sustainability targets. The Chinese economy is no exception in its attempts to conserve economic and natural resources via collaborative efforts to embrace cleaner technology, green energy sources, and resource conservation management to preserve resources for future generations. This research examines the influence of cleaner technologies, green energy sources, and natural resource management on reducing greenhouse gas emissions using quarterly data for the Chinese economy from 2000Q1 to 2020Q4. The findings demonstrate that increasing demand for green energy reduces greenhouse gas emissions, hence substantiating the premise of ‘green is clean’ energy development. Additionally, optimum resource usage enhances environmental quality, corroborating the ‘resource cleaner blessing’ hypothesis. The positive link between inward foreign direct investment and greenhouse gas emissions substantiates the ‘pollution haven’ concept, according to which inward foreign direct investment uses unsustainable technology in manufacturing processes, hence degrading air quality indicators. Inadequate access to clean cooking technology and increased population density has a detrimental effect on the country’s environmental sustainability agenda, which must be corrected via sustainable regulations. The causality estimates show the feedback relationship between renewable energy demand (and economic growth) and cleaner technology, between economic growth and green energy (and inbound foreign direct investment), and between population density and economic growth (and green energy). The Impulse Response function estimates suggested that economic growth and population density would likely increase GHG emissions. In contrast, cleaner technology, green energy demand, natural resource management, and inbound foreign direct investment would likely decrease greenhouse gas emissions for the next ten-year time period. The sustainability of the environment and natural resources in China is bolstered by developing cleaner technologies, a greater reliance on renewable energy sources, and better management of natural resources.

Keywords: GHG emissions; cleaner technology; renewable energy demand; natural resource management; robust least squares regression (search for similar items in EconPapers)
JEL-codes: Q2 Q3 Q4 Q5 (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (25)

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