Impact of technological innovation and renewable energy on ecological footprint in G20 countries: The moderating role of institutional quality

• Main Authors: Raza A., Habib Y., Hashmi S.H.
• Other Authors: 58252832300
• Format: Article
• Published: Springer Science and Business Media Deutschland GmbH 2024
• Subjects: CS-ARDL; Ecological footprint; Institutional quality; Renewable energy; Technological innovation; Carbon Dioxide; Cross-Sectional Studies; Economic Development; Environment; Inventions; Renewable Energy; carbon dioxide; alternative energy; ecological footprint; economic growth; Granger causality test; innovation; institutional framework; sustainable development; urbanization; cross-sectional study; economic development; environment; invention; renewable energy

The connection between ecological footprint and economic complexity has significant implications for environmental sustainability regarding the policy. Additionally, institutional quality is crucial in ensuring environmental sustainability and moderating the link between economic complexity and ecological footprint. The task of achieving sustainable environmental development and preventing further degradation of the environment poses a formidable challenge to policymakers. This study delves into the significance of technology innovation and renewable energy in creating a more sustainable environment. Recognizing the need for a more critical review, this research establishes the dynamic linkage between ecological footprint, renewable energy consumption, and technological innovation, especially in conjunction with a moderating component, particularly institutional quality, in G20 countries from 1990 to 2021. We employ advanced panel approaches to address panel data analysis concerns, such as cross-sectional dependence, slope heterogeneity, unit root, cointegration test and CS-ARDL. The long-term estimator indicates that renewable energy and technological innovation negatively but significantly impact the ecological footprint. Whilst economic growth, FDI, and urbanization have shown a positive and significant impact on ecological footprint