Assessing the predictive ability of information globalization under global value chains‐environmental sustainability nexus in the BRICS economies: A nonparametric causality approach

Dong Yu, Zilong Wang and Muhammad Nadeem

Natural Resources Forum, 2025, vol. 49, issue 3, 2891-2916

Abstract: The expansion of cross‐border information and production resources is facilitated by information globalization through the transfer of fresh ideas, products, technologies, and business models. This encourages information globalization's potential to achieve environmental and other technological advancements in the meantime and helps to make greener production possible through value‐added trade. Prior research, however, largely ignored this aspect of globalization in global value chains' studies. In order to anticipate carbon emissions (CO2) in BRICS economies, this novel study aims to assess the significance of participation in global value chains (GVCs) and information globalization (ING). The innovative research uses nonparametric causality‐in‐quantiles techniques on quarterly data from 1995Q1 to 2018Q4 to quantify for causality‐in‐variance and causality‐in‐mean because there might not be any causation at the first stage but there might be higher‐order interdependencies. The results show that GVC and ING had high predictive capability for carbon emissions, indicating asymmetry regarding environmental sustainability. Additionally, GVC and information globalization asserted that there is a significant interaction effect when it comes to forecasting pollution levels in chosen nations. The provision of financial and R&D assistance for energy efficiency and green production, as well as the use of mass and social media to raise awareness among the firms participating in global value chains, may assist in achieving SDG 13 and Cope26's goal of reducing pollution by 2030. The finding contributes crucial insights for policymakers and enhances the discourse on sustainable hones inside GVCs. The study proposes prioritizing information transparency, worldwide measures, and motivations for eco‐friendly advances to improve environmental sustainability in GVCs. Policymakers are encouraged to foster public–private associations for cohesive global endeavors in diminishing CO2 emanations inside GVCs.

Date: 2025
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https://doi.org/10.1111/1477-8947.12500

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Persistent link: https://EconPapers.repec.org/RePEc:wly:natres:v:49:y:2025:i:3:p:2891-2916

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