Natural Resources Forum

doi: 10.1111/1477-8947.12503pmid: N/A

Ike, George N.; Usman, Ojonugwa; Köksal, Cihat

doi: 10.1111/1477-8947.12343pmid: N/A

The economy of a developing country like Nigeria has evolved from a strong dependence on agricultural exports in the 1960s to an unhealthy reliance on crude oil exports. This has led to a large agricultural trade deficit that requires a better understanding of the dynamic relationship between oil price booms and agricultural production. To this end, the study not only isolates the effect of oil price movements on agricultural production from heterogeneous sub‐sectors in Nigeria but also tests for Dutch disease symptoms using annual data from 1970 to 2019. Employing the auto‐regressive distributed lag (ARDL) cointegration and dynamic simulations as well as dynamic Granger causality techniques, the study shows that in the long run, oil price booms affect the food sector and the livestock sector heterogeneously. An increase in the oil price undercuts the production performance of the food sector. Also, because of the strong linkage between domestic livestock production and the global livestock market, an increase in domestic production has a weak predictive content for oil price booms. The policy implications of these findings include the sterilization of oil revenues outside the country and collaboration with foreign investors to provide much‐needed investment in the agricultural sector through various incentive schemes.

Hashmi, Shabir Mohsin; Wan, Muchun; Syed, Qasim Raza

doi: 10.1111/1477-8947.12372pmid: N/A

The existing literature on resource economics extensively probes the validity of the natural resource curse hypothesis; nevertheless, the empirical evidence at the global scale is relatively sparse. Further, the literature ignores the combined impact of geopolitical risk (GPR) and natural resources (NRR) on economic growth (EG). Based on this, we examine whether the natural resource curse hypothesis holds at the global level. Moreover, we investigate the combined impact of NRR and GPR on EG. We adopt the novel Fourier‐augmented ARDL method to provide reliable outcomes. The results delineate that NRR upsurge EG, thereby invalidating the resource curse hypothesis. Contrarily, the combined impact of NRR and GPR on EG is negative, thus, validating the resource curse hypothesis. We recommend a series of policy suggestions based on the outcomes.

Rasheed, Muhammad Qamar; Ahad, Muhammad; Shahzad, Khurram; Imran, Zulfiqar Ali

doi: 10.1111/1477-8947.12376pmid: N/A

As environmental challenges continue to escalate, policymakers around the globe are prioritizing green growth (GG). This is complicated by the impact of two crucial factors, namely economic policy uncertainty (EPU) and environmental policy stringency (EPI), on the estimates for GG. Therefore, this study investigates the impact of these variables on GG while controlling trade and human development in International Energy Agency member countries from 1990 to 2020. After establishing the existence of a long‐run relationship through the Westerlund cointegration test, the Panel Mean Group autoregressive distributed lag, FMOLS, and DOLS are employed. The findings show that EPU has an inverse impact while EPI positively impacts GG in the long run. Additionally, in Brazil, China, Denmark, and Sweden, the error correction model indicates that EPU has a negative relationship, while EPI has a positive relationship with GG in the short run. Furthermore, a feedback causality was detected between GG, EPU, EPI, and Human Development Index. However, unidirectional causality has been captured running from trade to GG. This research also presents some new insights for policymakers.

Ganda, Fortune

doi: 10.1111/1477-8947.12377pmid: N/A

In recent years, an abundance of research has been conducted on the purported environmental Kuznets curve (EKC) hypothesis, which progressively proposed an inverted U‐shaped relationship between income and emissions. The primary objective of this research is to examine the case of South Africa, which stands as a prominent example of a highly developed industrialized economy within the African continent. This study aims to explore the potential of South Africa in reducing emissions resulting from human activities. Therefore, this study utilizes the autoregressive distributed lag (ARDL) approaches. The study's findings demonstrate the existence of both the U‐shaped curve and the inverted U‐shaped EKC when considering the parameters being examined in both short‐term and long‐term scenarios. In the short term, the inflection points of per capita GDP obtained from two regressions on carbon emissions validate values within the range of US$45.675‐US$45.72. The relationship between foreign direct investment (FDI) and financial development and their effects on environmental quality have yielded inconclusive and statistically insignificant results in both periods. The long‐term impact of renewable energy usage on environmental quality, specifically in terms of carbon emissions and ecological footprint, is substantial and exhibits a negative correlation. Nevertheless, it is evident that there exists a notable positive correlation in the immediate timeframe. In the long term, human capital has a key role in reducing the ecological footprint, since it is inversely correlated with it. However, in the near term, human capital has a substantial positive relationship with environmental quality, namely in terms of carbon emissions and ecological footprint. Therefore, the study affirms that in certain cases, it is exceedingly difficult for a nation to simultaneously uphold the preservation of its natural environment and foster economic development during the initial phases of expansion, and conversely.

Karlilar, Selin; Pata, Ugur Korkut

doi: 10.1111/1477-8947.12379pmid: N/A

The economic progress of OECD countries is highly dependent on the use of materials. However, excessive material use may cause OECD countries to deviate from their Sustainable Development Goals (SDGs), particularly SDGs 8 and 12. Therefore, it is an important policy agenda to analyze the determinants of the material footprint (MF) and seek solutions to reduce it. This study examines the impact of green innovation, environmental policy strategy, and environmental taxes on MF for 30 OECD countries from 2000 to 2019 using the cross‐sectional ARDL (CS‐ARDL) approach within the framework of the environmental Kuznets Curve (EKC). The outcomes indicate that the EKC hypothesis is valid for MF. Moreover, the long‐term results indicate that green innovation, environmental policy stringency, and environmental taxes are important policy tools to reduce MF. Therefore, OECD countries should promote green innovation, upsurge environmental taxes, and implement stringent environmental policies to the achievement of SDGs 8 and 12.

Liu, Sufang; Okere, Kingsley Ikechukwu; Muoneke, Obumneke Bob

doi: 10.1111/1477-8947.12375pmid: N/A

The sacrosanct role played by small and medium‐sized enterprises (SMEs) in shaping economic realities in Europe resonates the accompanying impact of their activities on the environment. Furthermore, the unequal access to green finance across various sizes of small and medium enterprises alongside low level of bureaucratic quality in low‐income nations in Europe further complicates the attainment of climatic targets by 2050. The study investigates the SME‐environmental sustainability link amidst the moderating role of green finance and bureaucratic quality in selected low‐income nations in Europe. Findings show that SMEs increased carbon emissions across all quantiles in the selected countries. The results from the interaction towed double‐ends; interaction between SMEs and green finance reduced carbon emissions significantly from lower to upper quantiles. The interaction between SMEs and bureaucratic quality aggravates the level of carbon emission across all quantiles. Relevant policy recommendations were proffered to the sovereign governments and relevant EU agencies within the manuscript.

Gangadhari, Rajan Kumar; Karadayi‐Usta, Saliha; Lim, Weng Marc

doi: 10.1111/1477-8947.12378pmid: N/A

Following The Paris Agreement and United Nations Sustainable Development Goals (SDGs), a significant number of nations globally have pledged to achieve net‐zero emissions by 2050. The goal is to lower emissions while emphasizing economically and socially sustainable practices. To meet these sustainable development targets, some countries have introduced industry‐specific roadmaps, showing how nations can systematically allocate resources to attain net zero, which includes balancing energy and production needs with existing energy sources. Such a transformation will inevitably encounter obstacles, particularly in reducing reliance on non‐renewable fuels and mitigating existing emissions. This study focuses on identifying these impediments to achieving a net‐zero economy. Utilizing the novel concept of plithogenic sets, the study examines the interdependent relationships among various barriers, providing insights into navigating these constraints. The findings reveal external, economic, and policy and framework obstacles and their subsequent impact on organizational and technological challenges that must be surmounted to reach net‐zero status.

Zulfiqar, Muhammad; Fatima, Arooj; Ullah, Muhammad Rizwan; Huo, Weidong; Pervaiz, Amber; Ghafoor, Sadeen

doi: 10.1111/1477-8947.12384pmid: N/A

An exponential and sustained increase in carbon emissions is worsening environmental quality and causing a global warming crisis. Climate change and global warming are now considered a major environmental threat to human civilization. The study, thus, intends to analyze the impact of green technological innovation, green energy production and financial development on environmental quality. For the analysis, the study uses two different measures of environmental quality: carbon emissions and ecological footprints. We collected panel data from various South Asian countries from 2000 to 2021. After observing the basic characteristics of data, we employ Fully Modified and Dynamic Ordinary Least Square models to examine the data. The study reports significant contributions of green energy production, green technological innovation, and financial development in determining environmental quality across the South Asian region. The study recommends increasing green energy production, technological innovation, and financial development to improve environmental quality.

Okezie, Benedette Nneka; Agbanike, Tobechi Faith; Nnachi, Nwaonuma Douglas; Otta, Nkama Nnachi; Nwani, Chinazaekpere; Eneje, Beatrice Chinyere; Onuoha, Ijeoma Perpetual; Nnam, Hilary Ikechukwu

doi: 10.1111/1477-8947.12387pmid: N/A

This study examines the role of tax burden (TB) in the income–energy–environment nexus in sub‐Saharan Africa (SSA) using the ecological load capacity (ELC) factor as a sustainability indicator. Analyzing data from 1999 to 2021 using the method of moments quantile regression with the bootstrap variance algorithm, the results defy the load capacity curve hypothesis, revealing an inverted U‐shaped relationship between income and ELC. The turning point income is $3257.48 at the 10th quantile and $4317.23 at the 90th quantile. An increased renewable energy share in the consumption mix boosts ELC. Regarding TB, a U‐shaped curve exists between fiscal freedom and ELC, with significance at the 40th and 90th quantiles, with TB score turning points at 67.60 and 71.37, respectively. The Dumitrescu–Hurlin test uncovers bidirectional causality between ELC and the variables. TB affects income and renewable energy unidirectionally, while income and renewable energy have bidirectional causality. These findings suggest that higher taxes on households and businesses hinder the transition to a greener economy via income and energy consumption. An integrated policy approach is necessary to balance revenue generation with the preservation of ecological sustainability in SSA.