The effects of energy transition and technological innovation on environmental quality: a CS-ARDL analysis of G7 economies

Hichem Ghnimi and Sihem Hermi

Arab Gulf Journal of Scientific Research, 2026, vol. 44, issue 1, 49-62

Abstract: PurposeThis study examines the impact of energy transition (ET) and technological innovation (TI) on environmental quality in G7 economies.Design/methodology/approachUsing a balanced panel of 175 observations from 1999–2023, the cross-sectional autoregressive distributed lag (CS-ARDL) model analyzes short- and long-term relationships while accounting for cross-sectional dependence and heterogeneity.FindingsResults show that ET and TI significantly reduce carbon emissions, thereby enhancing environmental quality.Practical implicationsPolicies should prioritize renewable energy, energy efficiency and green-oriented TI to achieve meaningful emission reductions.Originality/valueBy focusing on G7 economies and applying CS-ARDL, the study addresses a literature gap and highlights the importance of sustained investment in sustainable and innovative initiatives for environmental improvement.

Keywords: Environmental quality; Energy transition; Technological innovation; Sustainability; CS-ARDL approach (search for similar items in EconPapers)
Date: 2026
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Persistent link: https://EconPapers.repec.org/RePEc:eme:agjsrp:agjsr-10-2025-0193

DOI: 10.1108/AGJSR-10-2025-0193

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