Dual forces: educational development and digital innovation steering BRICS to carbon neutrality

Kaixin Zheng, Shuyun Chang, Zhang Yue and Shiyiu Liu

Applied Economics, 2026, vol. 58, issue 36, 7635-7655

Abstract: BRICS nations – Brazil, Russia, India, China, and South Africa – stand at a critical crossroads. These countries, while achieving impressive economic growth and urbanization over the past few decades, now face escalating environmental challenges. This study dives deep into the interplay between educational development, digital transformation, and environmental sustainability in BRICS nations from 1990 to 2022. The analysis employs dynamic panel data techniques, including Two-Step System Generalized Method of Moments (GMM), AMG, CCEMG, Fixed Effects models, and also Granger causality to capture the relationships between educational components and environmental outcomes effectively. The GMM outcomes reveal a double-edged sword: economic growth (EG) drives environmental degradation, whereas digital transformation (DT) emerges as a powerful counterforce, significantly mitigating emissions. The first model highlights primary education’s (SEP) vital role in fostering sustainable practices, showing a significant positive effect on reducing carbon emissions (CE). The second model underscores the impact of secondary education (SES), with increased investment proving pivotal in advancing environmental sustainability. The third model brings tertiary education (SET) into the spotlight, emphasizing its crucial contribution to enhancing environmental outcomes. The robustness of these findings is reinforced through rigorous-fixed effects panel regression analysis, consistently affirming the interconnectedness of education, digital transformation, and urbanization in tackling environmental challenges.

Date: 2026
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DOI: 10.1080/00036846.2025.2535546

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