Resource curse hypothesis and sustainable development: Evaluating the role of renewable energy and R&amp;D

Li, Menghan; Zhang, Kaiyue; Alamri, Ahmad Mohammed; Ageli, Mohammed Moosa; Khan, Numan

doi:10.1016/j.resourpol.2022.103283

Cited by 77 publications

(18 citation statements)

References 61 publications

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“…Additionally, effective management of water reservoirs should be prioritized to ensure sustainable water use and address water scarcity and contamination issues. The outcomes of the study are analogous to the conclusions of (Khan et al, 2022; M. Li et al, 2023; Khan, Hossain, Badeed & Zhang, 2023).…”

Section: Discussionsupporting

confidence: 81%

“…The authors exhibit that natural resources have a resource curse on the economic output in G7 economies while renewable energy has still been in the initial phase, having a lesser influence on the economic expansion. Similarly, (M. Li et al, 2023) also confirmed that renewable energy negatively influences sustainable development in G7 economies and unidirectional causal linkage exists in these economies. (Fakher et al, 2023) evaluated the role of REC and non‐REC on environment quality.…”

Section: Literature Reviewmentioning

confidence: 75%

“…However, there are drawbacks to consider. Installing solar panels and wind energy infrastructure on vast agricultural lands can disrupt these areas and potentially reduce food production (M. Li et al, 2023). Furthermore, some REC projects face intermittent challenges related to weather conditions and geographical limitations.…”

Section: Introductionmentioning

confidence: 99%

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Natural resources, food, energy and water: Structural shocks, food production and clean energy for USA in the view of COP27

Zhang,

Wang,

et al. 2024

Land Degrad Dev

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There is a notable scarcity of literature addressing the complex affiliation amidst natural resources, water productivity (WPROD), and the food production index (FPI). Existing research focuses on emerging and developing countries, primarily centering on the initial objectives of sustainable development. To bridge this literature gap, our research delves into the nexus of WPROD, FPI, and total land resources (TLRS). Additionally, the study explores the persuasive roles of income (GDP) and renewable energy consumption (REC). Employing time series methodologies, we utilize the DF‐GLS unit root assessment to assess the variable static method and the Bayer‐Hanck test to scrutinize long‐term equilibrium. The primary analysis employs the least squares approach with breakpoints, supplemented by the Robust least squares method for validation. For causal relationships between variables, we deployed the Granger causality approach. Our outcomes disclose that variables are static at the first difference, indicating long‐run equilibrium among all variables. Empirical outcomes suggest a resource curse associated with TLRS, as it negatively influences both WPROD and FPI, regardless of breaks. The increase in coefficients of land resources by 1% causes decrease in water productivity and food production by −0.35% and −0.185%. In contrast, GDP and renewable energy positively impact water productivity and food production index, even in the presence of structural breaks. Robustness checks yield‐mixed outcomes, though the overall results remain significant and consistent with the main methods. Causality analysis indicates a bi‐directional linkage between natural resources, renewable energy, and water productivity, and food production, while GDP demonstrates a uni‐directional linkage in the study. We provide relevant policies under the targets of COP 27 to manage land resources in the USA.

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Section: Discussionsupporting

confidence: 81%

Section: Literature Reviewmentioning

confidence: 75%

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Natural resources, food, energy and water: Structural shocks, food production and clean energy for USA in the view of COP27

Zhang,

Wang,

et al. 2024

Land Degrad Dev

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“…In such a way, this effect is negative in Nepal, Sri Lanka, and Afghanistan and positive in India and Pakistan. These results have been investigated in another way in the study of Li et al (2023) and Sha (2023) for G7 member countries and the gift of natural resources for the development of these countries has been confirmed.…”

Section: Economic Growth and Natural Resource Rentsmentioning

confidence: 71%

Investigating causality between natural resource rents, openness, and economic growth: A quantile approach

Balounejad Nouri

2023

Natural Resources Forum

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In the present study, the causality between resource rents, openness, and economic growth was investigated using the quantile causality method and quarterly data (2006–2021) in Iran. The advantage of this method is that it makes it possible to investigate the relationships of variables in the conditional distribution tail and all quantiles by using quantile‐based conditional regressions. The results showed a bi‐direction causality between resource rents and growth in the tail of the distribution. Therefore, in the upper median quantiles, the causality is from the resources rent to growth, and in the lower quantiles, the causality is in the opposite direction. The results confirmed, in general, the presence of bi‐direction causality between economic growth and openness in quantiles. In the middle quantile, there is a uni‐direction causality relationship from growth to the trade openness, and in the upper quantile, there is causality from openness to economic growth. In addition, the results showed evidence of a tail dependency between resource rents and trade openness, in some quantiles, the causal relationship is from openness to the resources rent, and in the median quantiles, the causality is from rent to openness. These results show that the rent effect of natural resources can be considered as an opportunity for economic growth by adopting appropriate and flexible policies by governments. We recommend the implementation of more trade liberalization policies to maximize the benefits from trade openness, especially in the countries where the resource curse phenomenon reported. Important policy implications can be learned from the empirical results.

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“…At the same time, these countries still experience the resource curse hypothesis because of the inefficient utilization of natural resources, which influences economic growth negatively and degrades environmental stability (Z. Khan et al, 2023 ) During the pandemic, the economies went below 2% of economic growth, and Mother Nature healed; however, during the post-pandemic, the economies again back to normal and started production and manufacturing activities at the same pace, which affected the sustainability of natural resources and environment ( Li et al, 2023 )). Such practices of environmental degradation have remained in question for today's policymakers.…”

Section: Introductionmentioning

confidence: 99%

Environment and natural resources degradation under COVID-19 crises: Recovery post pandemic

Zheng

et al. 2023

Resources Policy

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Resource curse hypothesis and sustainable development: Evaluating the role of renewable energy and R&D

Cited by 77 publications

References 61 publications

Natural resources, food, energy and water: Structural shocks, food production and clean energy for USA in the view of COP27

Natural resources, food, energy and water: Structural shocks, food production and clean energy for USA in the view of COP27

Investigating causality between natural resource rents, openness, and economic growth: A quantile approach

Environment and natural resources degradation under COVID-19 crises: Recovery post pandemic

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