Assessing the environmental effects of ICT and renewable energy: roles of financial development, innovation, and trade.

ABSTRACT

In today's world of rapidly expanding economies, the fundamental aim of most nations is to raise the quality of living for their citizens. The investigation aims to analyze how environmental rules affect the emergence of environmentally conscious economies. This research focused on China's 26 provinces to investigate the elements influencing green economic development. These components included information and communication technology (ICT), industrial structure (IND), human capital (EDU), and foreign direct investment. Spatial modeling and SBM methods were utilized to show that there is still a connection between the variables after all these years using yearly time series data that began in 2000. Overall, the results suggest that environmental regulation helps green economic development (GDE), whereas industrial structure significantly hinders. Similar to the previous point, information and communication technology has a favorable influence on building a sustainable economy. The problem of ensuring long-term economic growth via information and communication technology is complicated and has scholars engaged in exciting discussion. The expansion of the green economy is also affected by factors such as human capital and foreign direct investment. This study's findings illuminate the economic effects of environmental regulations and support the contention that such laws are necessary for accomplishing the win-win goals of green economic development and environmental protection. This means that the research provides a fresh perspective to consider the monetary effects of environmental restrictions.