[go: up one dir, main page]
More Web Proxy on the site http://driver.im/
IDEAS home Printed from https://ideas.repec.org/a/eee/jrpoli/v85y2023ipbs0301420723007389.html
   My bibliography  Save this article

The impact of natural resources on technology innovation from cross-country panel data: A comparative analysis and policy-level insights

Author

Listed:
  • Xiao, Anran
  • Xu, Zeshui
  • Qin, Yong
  • Lv, Shengnan
  • Skare, Marinko
Abstract
The study aims to examine the direct impact of natural resources on technology innovation by considering the critical role of five dimensions of technology innovation (ICT development, R&D activity, skills, industry activity and access to finance). For this purpose, the common correlated effect mean group (CCEMG) estimator is applied to estimate cross-country panel data encompassing 102 countries from 2008 to 2018. Under the global sample, the empirical evidence strongly supports that natural resources hinder ICT development and R&D activity but have a positive impact on industry activity and access to finance, which shows a traceable path of the resource blessing. In addition, for overall technology innovation, ICT development, R&D and industry activity, the resource curse is effectively transformed into a resource blessing in high-income countries, which benefits from the high level of manufacturing, modern services and industrial structure. When considering the chronological evolution, natural resources show a negative effect on overall technology innovation in the first period and a positive effect in the second period in low-income countries. On this basis, challenges and initiatives in three phases are proposed to better achieve resource blessing, including resource regulation, human resource reserve, international trade adjustment, industrial structure transformation and financial investment optimization. Lastly, policy-level insights on the different dimensions of technology innovation are proposed to provide guidance and valuable reference for policymakers.

Suggested Citation

  • Xiao, Anran & Xu, Zeshui & Qin, Yong & Lv, Shengnan & Skare, Marinko, 2023. "The impact of natural resources on technology innovation from cross-country panel data: A comparative analysis and policy-level insights," Resources Policy, Elsevier, vol. 85(PB).
    • Handle: RePEc:eee:jrpoli:v:85:y:2023:i:pb:s0301420723007389
    DOI: 10.1016/j.resourpol.2023.104027
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0301420723007389
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.resourpol.2023.104027?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Yu Shi & Lei Gong & Jin Chen, 2019. "The Effect of Financing on Firm Innovation: Multiple Case Studies on Chinese Manufacturing Enterprises," Emerging Markets Finance and Trade, Taylor & Francis Journals, vol. 55(4), pages 863-888, March.
    2. Dwumfour, Richard Adjei & Ntow-Gyamfi, Matthew, 2018. "Natural resources, financial development and institutional quality in Africa: Is there a resource curse?," Resources Policy, Elsevier, vol. 59(C), pages 411-426.
    3. Samuel Ogbeibu & Charbel Jose Chiappetta Jabbour & James Gaskin & Abdelhak Senadjki & Mathew Hughes, 2021. "Leveraging STARA competencies and green creativity to boost green organisational innovative evidence: A praxis for sustainable development," Business Strategy and the Environment, Wiley Blackwell, vol. 30(5), pages 2421-2440, July.
    4. Liang, Jinhao & Razzaq, Asif & Sharif, Arshian & Irfan, Muhammad, 2022. "Revisiting economic and non-economic indicators of natural resources: Analysis of developed economies," Resources Policy, Elsevier, vol. 77(C).
    5. Dogan, Eyup & Altinoz, Buket & Tzeremes, Panayiotis, 2020. "The analysis of ‘Financial Resource Curse’ hypothesis for developed countries: Evidence from asymmetric effects with quantile regression," Resources Policy, Elsevier, vol. 68(C).
    6. Yong Qin & Xinxin Wang & Zeshui Xu & Marinko Škare, 2021. "The impact of poverty cycles on economic research: evidence from econometric analysis," Economic Research-Ekonomska Istraživanja, Taylor & Francis Journals, vol. 34(1), pages 152-171, January.
    7. Hashem Pesaran, M. & Yamagata, Takashi, 2008. "Testing slope homogeneity in large panels," Journal of Econometrics, Elsevier, vol. 142(1), pages 50-93, January.
    8. Le, Thanh & Le Van, Cuong, 2018. "Research and development and sustainable growth over alternative types of natural resources," Economic Modelling, Elsevier, vol. 70(C), pages 215-229.
    9. Yong Fang & Zhenquan Shao, 2022. "Whether Green Finance Can Effectively Moderate the Green Technology Innovation Effect of Heterogeneous Environmental Regulation," IJERPH, MDPI, vol. 19(6), pages 1-19, March.
    10. Kapetanios, G. & Pesaran, M. Hashem & Yamagata, T., 2011. "Panels with non-stationary multifactor error structures," Journal of Econometrics, Elsevier, vol. 160(2), pages 326-348, February.
    11. Cláudia Custódio & Miguel A. Ferreira & Pedro Matos, 2019. "Do General Managerial Skills Spur Innovation?," Management Science, INFORMS, vol. 65(2), pages 459-476, February.
    12. Shahbaz, Muhammad & Destek, Mehmet Akif & Okumus, Ilyas & Sinha, Avik, 2019. "An empirical note on comparison between resource abundance and resource dependence in resource abundant countries," Resources Policy, Elsevier, vol. 60(C), pages 47-55.
    13. Katharina Wick & Erwin Bulte, 2009. "The Curse of Natural Resources," Annual Review of Resource Economics, Annual Reviews, vol. 1(1), pages 139-156, September.
    14. Wang, Rong & Tan, Junlan & Yao, Shuangliang, 2021. "Are natural resources a blessing or a curse for economic development? The importance of energy innovations," Resources Policy, Elsevier, vol. 72(C).
    15. Luo, Keyu & Wang, Qi & Liang, Chao, 2022. "The way to break the resource curse: New evidence from China," Resources Policy, Elsevier, vol. 79(C).
    16. Blomquist, Johan & Westerlund, Joakim, 2013. "Testing slope homogeneity in large panels with serial correlation," Economics Letters, Elsevier, vol. 121(3), pages 374-378.
    17. Pesaran, M. Hashem & Vanessa Smith, L. & Yamagata, Takashi, 2013. "Panel unit root tests in the presence of a multifactor error structure," Journal of Econometrics, Elsevier, vol. 175(2), pages 94-115.
    18. Zheng, Jiajia & Wang, Xingwu, 2021. "Can mobile information communication technologies (ICTs) promote the development of renewables?-evidence from seven countries," Energy Policy, Elsevier, vol. 149(C).
    19. Claudio Fassio, 2018. "Export-led innovation: the role of export destinations," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 27(1), pages 149-171.
    20. M. Hashem Pesaran, 2006. "Estimation and Inference in Large Heterogeneous Panels with a Multifactor Error Structure," Econometrica, Econometric Society, vol. 74(4), pages 967-1012, July.
    21. Li, Hui & Usman, Nazar & Coulibay, Megnoro Hamed & Phiri, Ruth & Tang, Xiaoying, 2022. "Does the resources curse hypothesis exist in China? What is the dynamic role of fiscal decentralization, economic policy uncertainty, and technology innovation for sustainable financial development?," Resources Policy, Elsevier, vol. 79(C).
    22. Shahbaz, Muhammad & Naeem, Muhammad & Ahad, Muhammad & Tahir, Iqbal, 2018. "Is natural resource abundance a stimulus for financial development in the USA?," Resources Policy, Elsevier, vol. 55(C), pages 223-232.
    23. Amit Jain & Will Mitchell, 2022. "Specialization as a double‐edged sword: The relationship of scientist specialization with R&D productivity and impact following collaborator change," Strategic Management Journal, Wiley Blackwell, vol. 43(5), pages 986-1024, May.
    24. Grigorios L. Kyriakopoulos, 2021. "Environmental Legislation in European and International Contexts: Legal Practices and Social Planning toward the Circular Economy," Laws, MDPI, vol. 10(1), pages 1-15, January.
    25. Dong, Kangyin & Sun, Renjin & Hochman, Gal & Li, Hui, 2018. "Energy intensity and energy conservation potential in China: A regional comparison perspective," Energy, Elsevier, vol. 155(C), pages 782-795.
    26. Halicioglu, Ferda & Ketenci, Natalya, 2018. "Output, renewable and non-renewable energy production, and international trade: Evidence from EU-15 countries," Energy, Elsevier, vol. 159(C), pages 995-1002.
    27. Pesaran, M. Hashem & Smith, Ron, 1995. "Estimating long-run relationships from dynamic heterogeneous panels," Journal of Econometrics, Elsevier, vol. 68(1), pages 79-113, July.
    28. Qiushuang Ren & Guofeng Gu & Yinan Zhou & Zhiyu Zhang, 2022. "Research on the economic effect of employment structure change in heterogeneous regions: evidence from resource-based cities in China," Economic Research-Ekonomska Istraživanja, Taylor & Francis Journals, vol. 35(1), pages 6364-6384, December.
    29. M. Hashem Pesaran, 2007. "A simple panel unit root test in the presence of cross-section dependence," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 22(2), pages 265-312.
    30. Xiaomei Sun & Ahmad El Askary & Muhammad Saeed Meo & Noor ul Ain Zafar & Babar Hussain, 2022. "Green transformational leadership and environmental performance in small and medium enterprises," Economic Research-Ekonomska Istraživanja, Taylor & Francis Journals, vol. 35(1), pages 5273-5291, December.
    31. Bano, Sadia & Liu, Lu & Khan, Anwar, 2022. "Dynamic influence of aging, industrial innovations, and ICT on tourism development and renewable energy consumption in BRICS economies," Renewable Energy, Elsevier, vol. 192(C), pages 431-442.
    32. Matthias Busse & Steffen Gröning, 2013. "The resource curse revisited: governance and natural resources," Public Choice, Springer, vol. 154(1), pages 1-20, January.
    33. Erum, Naila & Hussain, Shahzad, 2019. "Corruption, natural resources and economic growth: Evidence from OIC countries," Resources Policy, Elsevier, vol. 63(C), pages 1-1.
    34. Naseer, Ahsan & Su, Chi-Wei & Mirza, Nawazish & Li, Jing-Ping, 2020. "Double jeopardy of resources and investment curse in South Asia: Is technology the only way out?," Resources Policy, Elsevier, vol. 68(C).
    35. Wei, Zhao & Huang, Lihua, 2022. "Does renewable energy matter to achieve sustainable development? Fresh evidence from ten Asian economies," Renewable Energy, Elsevier, vol. 199(C), pages 759-767.
    36. Muhammad Abdul Kamal & Assad Ullah & Jiajia Zheng & Bowen Zheng & Huizhu Xia, 2019. "Natural resource or market seeking motive of China’s FDI in asia? New evidence at income and sub-regional level," Economic Research-Ekonomska Istraživanja, Taylor & Francis Journals, vol. 32(1), pages 3869-3894, January.
    37. Dongyeol Lee, 2020. "The role of R&D and input trade in productivity growth: innovation and technology spillovers," The Journal of Technology Transfer, Springer, vol. 45(3), pages 908-928, June.
    38. Yunis, Manal & Tarhini, Abbas & Kassar, Abdulnasser, 2018. "The role of ICT and innovation in enhancing organizational performance: The catalysing effect of corporate entrepreneurship," Journal of Business Research, Elsevier, vol. 88(C), pages 344-356.
    39. Kamguia, Brice & Keneck-Massil, Joseph & Nvuh-Njoya, Youssouf & Tadadjeu, Sosson, 2022. "Natural resources and innovation: Is the R&D sector cursed too?," Resources Policy, Elsevier, vol. 77(C).
    40. Huang, Junbing & Chen, Xiang, 2020. "Domestic R&D activities, technology absorption ability, and energy intensity in China," Energy Policy, Elsevier, vol. 138(C).
    41. Khan, Zeeshan & Hussain, Muzzammil & Shahbaz, Muhammad & Yang, Siqun & Jiao, Zhilun, 2020. "Natural resource abundance, technological innovation, and human capital nexus with financial development: A case study of China," Resources Policy, Elsevier, vol. 65(C).
    42. Kpognon, Koffi D., 2022. "Fostering domestic resources mobilization in sub-Saharan Africa: Linking natural resources and ICT infrastructure to the size of informal economy," Resources Policy, Elsevier, vol. 77(C).
    43. Le Thanh Ha & Doan Ngoc Thang & To Trung Thanh, 2022. "Effects of bribery on natural resource efficiency in Vietnam: moderating effects of market competition and credit constraints," Economic Research-Ekonomska Istraživanja, Taylor & Francis Journals, vol. 35(1), pages 4237-4259, December.
    44. Cheng, Zhonghua & Li, Lianshui & Liu, Jun, 2020. "Natural resource abundance, resource industry dependence and economic green growth in China," Resources Policy, Elsevier, vol. 68(C).
    45. Luiz Carlos Bresser-Pereira, 2008. "The Dutch disease and its neutralization: a Ricardian approach," Brazilian Journal of Political Economy, Center of Political Economy, vol. 28(1), pages 47-71.
    46. Eberhardt, Markus & Bond, Stephen, 2009. "Cross-section dependence in nonstationary panel models: a novel estimator," MPRA Paper 17692, University Library of Munich, Germany.
    47. Ebeling, Francisco, 2022. "Can fossil fuel endowments steer economic development? Evidence from the linkages approach," Resources Policy, Elsevier, vol. 78(C).
    48. Feng, Suling & Zhang, Rong & Li, Guoxiang, 2022. "Environmental decentralization, digital finance and green technology innovation," Structural Change and Economic Dynamics, Elsevier, vol. 61(C), pages 70-83.
    49. Qian, Xiangyan & Wang, Di & Wang, Jia & Chen, Sai, 2021. "Resource curse, environmental regulation and transformation of coal-mining cities in China," Resources Policy, Elsevier, vol. 74(C).
    50. Qin, Yong & Xu, Zeshui & Wang, Xinxin & Škare, Marinko, 2022. "Green energy adoption and its determinants: A bibliometric analysis," Renewable and Sustainable Energy Reviews, Elsevier, vol. 153(C).
    51. Sachs, Jeffrey D. & Warner, Andrew M., 2001. "The curse of natural resources," European Economic Review, Elsevier, vol. 45(4-6), pages 827-838, May.
    52. Hu, Guoqiang & Wang, Xiaoqi & Wang, Yu, 2021. "Can the green credit policy stimulate green innovation in heavily polluting enterprises? Evidence from a quasi-natural experiment in China," Energy Economics, Elsevier, vol. 98(C).
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Adolfo Maza & Paula Gutiérrez-Portilla, 2022. "Outward FDI and exports relation: A heterogeneous panel approach dealing with cross-sectional dependence," International Economics, CEPII research center, issue 170, pages 174-189.
    2. Dong, Kangyin & Sun, Renjin & Hochman, Gal & Li, Hui, 2018. "Energy intensity and energy conservation potential in China: A regional comparison perspective," Energy, Elsevier, vol. 155(C), pages 782-795.
    3. Guo, Qingran & Abbas, Shujaat & AbdulKareem, Hauwah K.K. & Shuaibu, Muhammad Shehu & Khudoykulov, Khurshid & Saha, Tanaya, 2023. "Devising strategies for sustainable development in sub-Saharan Africa: The roles of renewable, non-renewable energy, and natural resources," Energy, Elsevier, vol. 284(C).
    4. Naseer, Ahsan & Su, Chi-Wei & Mirza, Nawazish & Li, Jing-Ping, 2020. "Double jeopardy of resources and investment curse in South Asia: Is technology the only way out?," Resources Policy, Elsevier, vol. 68(C).
    5. Wolde-Rufael, Yemane & Mulat-Weldemeskel, Eyob, 2023. "Is natural capital a blessing or a curse for capital accumulation in low income countries?," Resources Policy, Elsevier, vol. 85(PA).
    6. Dong, Kangyin & Hochman, Gal & Zhang, Yaqing & Sun, Renjin & Li, Hui & Liao, Hua, 2018. "CO2 emissions, economic and population growth, and renewable energy: Empirical evidence across regions," Energy Economics, Elsevier, vol. 75(C), pages 180-192.
    7. Eberhardt, Markus & Teal, Francis, 2008. "Modeling technology and technological change in manufacturing: how do countries differ?," MPRA Paper 10690, University Library of Munich, Germany.
    8. Çetin, Murat & Sarıgül, Sevgi Sümerli & Işık, Cem & Avcı, Pınar & Ahmad, Munir & Alvarado, Rafael, 2023. "The impact of natural resources, economic growth, savings, and current account balance on financial sector development: Theory and empirical evidence," Resources Policy, Elsevier, vol. 81(C).
    9. Li, Kaixian & Wang, Dongyu & Xu, Tong & Zhang, Yuqi, 2024. "Financial development and resource-curse hypothesis: Moderating role of internal and external conflict in the MENA region," Resources Policy, Elsevier, vol. 90(C).
    10. Hamza Çeştepe & Murat Çetin & Pınar Avcı & Bersu Bahtiyar, 2024. "The link between technological innovation and financial development: Evidence from selected OECD countries," International Journal of Finance & Economics, John Wiley & Sons, Ltd., vol. 29(2), pages 1219-1235, April.
    11. Sencer Atasoy, Burak, 2017. "Testing the environmental Kuznets curve hypothesis across the U.S.: Evidence from panel mean group estimators," Renewable and Sustainable Energy Reviews, Elsevier, vol. 77(C), pages 731-747.
    12. Cem Ertur & Antonio Musolesi, 2017. "Weak and Strong Cross‐Sectional Dependence: A Panel Data Analysis of International Technology Diffusion," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 32(3), pages 477-503, April.
    13. Aladejare, Samson Adeniyi, 2023. "Economic prosperity, asymmetric natural resource income, and ecological demands in resource-reliant economies," Resources Policy, Elsevier, vol. 82(C).
    14. Quynh Chau Pham Holland & Benjamin Liu & Eduardo Roca, 2019. "International funding cost and heterogeneous mortgage interest-rate pass-through: a bank-level analysis," Empirical Economics, Springer, vol. 57(4), pages 1255-1289, October.
    15. Hwang, Young Kyu & Sánchez Díez, Ángeles, 2024. "Renewable energy transition and green growth nexus in Latin America," Renewable and Sustainable Energy Reviews, Elsevier, vol. 198(C).
    16. Kangyin Dong & Xiucheng Dong & Qingzhe Jiang, 2020. "How renewable energy consumption lower global CO2 emissions? Evidence from countries with different income levels," The World Economy, Wiley Blackwell, vol. 43(6), pages 1665-1698, June.
    17. Zhou, Haonan & Li, Dongxin & Mustafa, Faisal & Altuntaş, Mehmet, 2022. "Natural resources volatility and South Asian economies: Evaluating the role of COVID-19," Resources Policy, Elsevier, vol. 75(C).
    18. Aliya Zhakanova Isiksal, 2023. "The role of natural resources in financial expansion: evidence from Central Asia," Financial Innovation, Springer;Southwestern University of Finance and Economics, vol. 9(1), pages 1-21, December.
    19. Schneider, Nicolas & Strielkowski, Wadim, 2023. "Modelling the unit root properties of electricity data—A general note on time-domain applications," Physica A: Statistical Mechanics and its Applications, Elsevier, vol. 618(C).
    20. Wei, Hua & Rizvi, Syed Kumail Abbas & Ahmad, Ferhana & Zhang, Yuchen, 2020. "Resource cursed or resource blessed? The role of investment and energy prices in G7 countries," Resources Policy, Elsevier, vol. 67(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jrpoli:v:85:y:2023:i:pb:s0301420723007389. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/inca/30467 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.