Skip to main content

Advertisement

SpringerLink
Log in

A road map for environmental sustainability and green economic development: an empirical study

  • Research Article
  • Published:
Environmental Science and Pollution Research Aims and scope Submit manuscript

Abstract

In today’s era, the world economy needs to move towards a green transformation. Green total factor productivity provides the judgment about a country or region’s ability to achieve long-term sustainable development goals. However, many factors considerably affect green total factor productivity that needs to be explored and clarified. This panel study investigates the link between technological input, environmental policies, governmental involvement, manufacturing and logistics industry cooperation, renewable energy consumption, and green total factor productivity in the context of Chinese’s manufacturing and logistics industry. Hypotheses are tested through fully modified ordinary least squares (FMOLS) and dynamic ordinary least squares (DOLS) econometric technique. The study used 12 cities data mainly taken from China Urban Statistical Yearbook (2005–2019) and National Economic and Social Development Statistics Bulletin. The results indicate that technological input, environmental policies, governmental involvement, manufacturing and logistics industry cooperation, and renewable energy consumption are significantly linked to green total factor productivity. The result also implies that the factors mentioned above have a crucial role in the transformation process. Moreover, the current research results will help popularize green total factor productivity and provide a new starting point for reducing non-renewable energy consumption and environmental pollution.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Log in via an institution

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Institutional subscriptions

Similar content being viewed by others

Availability of data and materials

The datasets used and/or analyzed during the current study are available on reasonable request.

References

  • Albrizio S, Kozluk T, Zipperer V (2017) Environmental policies and productivity growth: evidence across industries and firms. J Environ Econ Manag 81:209–226

    Google Scholar 

  • Arunachalam D, Kumar N, Kawalek JP (2018) Understanding big data analytics capabilities in supply chain management: unravelling the issues, challenges and implications for practice. Transportation Research Part e: Logistics and Transportation Review 114:416–436

    Google Scholar 

  • Baah C, Opoku-Agyeman D, Acquah ISK, Agyabeng-Mensah Y, Afum E, Faibil D, Abdoulaye FAM (2021) Examining the correlations between stakeholder pressures, green production practices, firm reputation, environmental and financial performance: evidence from manufacturing SMEs. Sustainable Production and Consumption 27:100–114

    Google Scholar 

  • Bag S, Yadav G, Dhamija P, Kataria KK (2021) Key resources for industry 4.0 adoption and its effect on sustainable production and circular economy: an empirical study. Journal of Cleaner Production 281:125233

    Google Scholar 

  • Bag S, Yadav G, Wood LC, Dhamija P, Joshi S (2020) Industry 40 and the circular economy: resource melioration in logistics. Resources Policy 68:101776

    Google Scholar 

  • Cao Y, Liu J, Yu Y, Wei G (2020) Impact of environmental regulation on green growth in China’s manufacturing industry–based on the Malmquist-Luenberger index and the system GMM model. Environ Sci Pollut Res 27(33):41928–41945

    CAS  Google Scholar 

  • Carvalho N, Chaim O, Cazarini E, Gerolamo M (2018) Manufacturing in the fourth industrial revolution: a positive prospect in sustainable manufacturing. Procedia Manufacturing 21:671–678

    Google Scholar 

  • Chen C, Lan Q, Gao M, Sun Y (2018) Green total factor productivity growth and its determinants in China’s industrial economy. Sustainability 10(4):1052

    Google Scholar 

  • Chen Y, Wang M, Feng C, Zhou H, Wang K (2021) Total factor energy efficiency in Chinese manufacturing industry under industry and regional heterogeneities. Resources, Conservation and Recycling 168:105255

    Google Scholar 

  • Cheng Z, & Jin W (2020) Agglomeration economy and the growth of green total-factor productivity in Chinese industry. Socio-Economic Planning Sciences, 101003, In Press: Corrected Proof, https://doi.org/10.1016/j.seps.2020.101003

  • Christodoulou D, Lev B, Ma L (2018) The productivity of Chinese patents: the role of business area and ownership type. Int J Prod Econ 199:107–124

    Google Scholar 

  • Cui H, Wang H, Zhao Q (2019) Which factors stimulate industrial green total factor productivity growth rate in China? An industrial aspect. Greenhouse Gases: Science and Technology 9(3):505–518

    Google Scholar 

  • Du K, Li J (2019) Towards a green world: how do green technology innovations affect total-factor carbon productivity. Energy Policy 131:240–250

    CAS  Google Scholar 

  • Feng G, Serletis A (2014) Undesirable outputs and a primal Divisia productivity index based on the directional output distance function. Journal of Econometrics 183(1):135–146

    Google Scholar 

  • Golman R, Klepper S (2016) Spinoffs and clustering. Rand J Econ 47(2):341–365

    Google Scholar 

  • Ilyas S, Hu Z, Wiwattanakornwong K (2020) Unleashing the role of top management and government support in green supply chain management and sustainable development goals. Environ Sci Pollut Res 27(8):8210–8223

    Google Scholar 

  • Jebli MB, Youssef SB, Apergis N (2019) The dynamic linkage between renewable energy, tourism, CO 2 emissions, economic growth, foreign direct investment, and trade. Latin American Economic Review 28(1):1–19

    Google Scholar 

  • Khan SAR, Chen J, Zhang Y, Golpîra H (2019) Effect of green purchasing, green logistics, and ecological design on organizational performance: a path analysis using structural equation modeling. Information Technology and Intelligent Transportation Systems 314:183–190. https://doi.org/10.3233/978-1-61499-939-3-183

    Article  Google Scholar 

  • Klitkou A, Bolwig S, Hansen T, Wessberg N (2015) The role of lock-in mechanisms in transition processes: the case of energy for road transport. Environ Innov Soc Trans 16:22–37

    Google Scholar 

  • Koengkan M, Fuinhas JA (2020) The interactions between renewable energy consumption and economic growth in the Mercosur countries. Int J Sustain Energ 39(6):594–614

    Google Scholar 

  • Lei X, & Wu S (2019) Nonlinear effects of governmental and civil environmental regulation on green total factor productivity in China. Advances in Meteorology, vol. 2019, Article ID 8351512, 10 pages, https://doi.org/10.1155/2019/8351512

  • Li B, Wu S (2017) Effects of local and civil environmental regulation on green total factor productivity in China: a spatial Durbin econometric analysis. J Clean Prod 153:342–353

    Google Scholar 

  • Li HL, Zhu XH, Chen JY, Jiang FT (2019c) Environmental regulations, environmental governance efficiency and the green transformation of China’s iron and steel enterprises. Ecological economics 165:106397

    Google Scholar 

  • Li K, Lin B (2017) Economic growth model, structural transformation, and green productivity in China. Appl Energy 187:489–500

    Google Scholar 

  • Liang X, Li P (2021) Empirical study of the spatial spillover effect of transportation infrastructure on green total factor productivity. Sustainability 13(1):326

    Google Scholar 

  • Liang Z, Chiu YH, Li X, Guo Q, Yun Y (2020) Study on the effect of environmental regulation on the green total factor productivity of logistics industry from the perspective of low carbon. Sustainability 12(1):175

    Google Scholar 

  • Ling Guo L, Qu Y, Tseng ML (2017) The interaction effects of environmental regulation and technological innovation on regional green growth performance. Journal of cleaner production 162:894–902

    Google Scholar 

  • Liu J, Murshed M, Chen F, Shahbaz M, Kirikkaleli D, Khan Z (2021) An empirical analysis of the household consumption-induced carbon emissions in China. Sustainable Production and Consumption 26:943–957

    Google Scholar 

  • Liu Z, Xin L (2019) Has China’s Belt and Road Initiative promoted its green total factor productivity?——evidence from primary provinces along the route. Energy Policy 129:360–369

    Google Scholar 

  • Mastos TD, Nizamis A, Vafeiadis T, Alexopoulos N, Ntinas C, Gkortzis D, Tzovaras D (2020) Industry 4.0 sustainable supply chains: an application of an IoT enabled scrap metal management solution. Journal of Cleaner Production 269:122377

    Google Scholar 

  • Miao C, Fang D, Sun L, Luo Q, Yu Q (2018) Driving effect of technology innovation on energy utilization efficiency in strategic emerging industries. J Clean Prod 170:1177–1184

    Google Scholar 

  • Mohseni M, Jouzaryan F (2016) Examining the effects of inflation and unemployment on economic growth in Iran (1996–2012). Procedia Economics and Finance 36:381–389

    Google Scholar 

  • Murshed M (2020) Are trade liberalization policies aligned with renewable energy transition in low and middle income countries? An Instrumental Variable approach. Renewable Energy 151:1110–1123

    Google Scholar 

  • Murshed M (2021) Can regional trade integration facilitate renewable energy transition to ensure energy sustainability in South Asia? Energy Rep 7:808–821

    Google Scholar 

  • Omri A (2020) Technological innovation and sustainable development: does the stage of development matter? Environmental Impact Assessment Review 83:106398

    Google Scholar 

  • Paramati SR, Apergis N, Ummalla M (2018) Dynamics of renewable energy consumption and economic activities across the agriculture, industry, and service sectors: evidence in the perspective of sustainable development. Environ Sci Pollut Res 25(2):1375–1387

    CAS  Google Scholar 

  • Pegkas P (2020) The impact of renewable and non-renewable energy consumption on economic growth: the case of Greece. Int J Sustain Energ 39(4):380–395

    Google Scholar 

  • Peuckert J (2014) What shapes the impact of environmental regulation on competitiveness? Evidence from Executive Opinion Surveys. Environ Innov Soc Trans 10:77–94

    Google Scholar 

  • Porter ME (1991) Towards a dynamic theory of strategy. Strateg Manag J 12(S2):95–117

    Google Scholar 

  • Ren S, Li X, Yuan B, Li D, Chen X (2018) The effects of three types of environmental regulation on eco-efficiency: a cross-region analysis in China. J Clean Prod 173:245–255

    Google Scholar 

  • Saeed A, Jun Y, Nubuor SA, Priyankara HPR, Jayasuriya MPF (2018) Institutional pressures, green supply chain management practices on environmental and economic performance: a two theory view. Sustainability 10(5):1517

    Google Scholar 

  • Saidi K, Hammami S (2015) The impact of CO2 emissions and economic growth on energy consumption in 58 countries. Energy Rep 1:62–70

    Google Scholar 

  • Saint Akadiri S, Alola AA, Akadiri AC, Alola UV (2019) Renewable energy consumption in EU-28 countries: policy toward pollution mitigation and economic sustainability. Energy Policy 132:803–810

    Google Scholar 

  • Seker F, Ertugrul HM, Cetin M (2015) The impact of foreign direct investment on environmental quality: a bounds testing and causality analysis for Turkey. Renew Sustain Energy Rev 52:347–356

    Google Scholar 

  • Shuai S, Fan Z (2020) Modeling the role of environmental regulations in regional green economy efficiency of China: empirical evidence from super efficiency DEA-Tobit model. Journal of environmental management 261:110227

    Google Scholar 

  • Topcu M, Tugcu CT (2020) The impact of renewable energy consumption on income inequality: evidence from developed countries. Renewable Energy 151:1134–1140

    Google Scholar 

  • Umar M, Khan SAR, Yusliza MY, Ali S, & Yu Z (2021) Industry 4.0 and green supply chain practices: an empirical study. International Journal of Productivity and Performance. https://doi.org/10.1108/IJPPM-12-2020-0633

  • Vanalle RM, Ganga GMD, Godinho Filho M, Lucato WC (2017) Green supply chain management: an investigation of pressures, practices, and performance within the Brazilian automotive supply chain. J Clean Prod 151:250–259

    Google Scholar 

  • Wang H, Cui H, Zhao Q (2021) Effect of green technology innovation on green total factor productivity in China: evidence from spatial Durbin model analysis. Journal of Cleaner Production 288:125624

    Google Scholar 

  • Wang M, Pang S, Hmani I, Hmani I, Li C, He Z (2021b) Towards sustainable development: how does technological innovation drive the increase in green total factor productivity? Sustain Dev 29(1):217–227

    Google Scholar 

  • Wang S (2017) Impact of FDI on energy efficiency: an analysis of the regional discrepancies in China. Nat Hazards 85(2):1209–1222

    Google Scholar 

  • Wang S, Li G, Fang C (2018a) Urbanization, economic growth, energy consumption, and CO2 emissions: empirical evidence from countries with different income levels. Renew Sustain Energy Rev 81:2144–2159

    Google Scholar 

  • Wang W, Yu B, Yao X, Niu T, Zhang C (2018b) Can technological learning significantly reduce industrial air pollutants intensity in China?—based on a multi-factor environmental learning curve. J Clean Prod 185:137–147

    Google Scholar 

  • WHO (2018) Clean Air For Health: Geneva Action Agenda. In 2018 the first World Health Organization (WHO) Global Conference on Air Pollution and Health. https://www.who.int/news/item/01-11-2018-clean-air-for-health-geneva-action-agenda. Accessed 14 Feb 2021

  • World Bank (2015) World Development Indicators2015. World Bank Publications. https://openknowledge.worldbank.org/handle/10986/21634. Accessed 15 Mar 2021

  • Wu H, Hao Y, Ren S (2020) How do environmental regulation and environmental decentralization affect green total factor energy efficiency: evidence from China. Energy Economics 91:104880

    Google Scholar 

  • Xie F, Liu Y, Guan F, Wang N (2020) How to coordinate the relationship between renewable energy consumption and green economic development: from the perspective of technological advancement. Environ Sci Eur 32:1–15

    Google Scholar 

  • Xie F, Zhang B, Wang N (2021) Nonlinear relationship between energy consumption transition and green total factor productivity: a perspective on different technology paths. Sustainable Production and Consumption 28:91–104

    Google Scholar 

  • Yuan B, Xiang Q (2018) Environmental regulation, industrial innovation and green development of Chinese manufacturing: based on an extended CDM model. J Clean Prod 176:895–908

    Google Scholar 

  • Zhang J, Lu G, Skitmore M, Ballesteros-Pérez P (2021) A critical review of the current research mainstreams and the influencing factors of green total factor productivity. Environ Sci Pollut Res 28(27):35392–35405. https://doi.org/10.1007/s11356-021-14467-4

    Article  Google Scholar 

  • Zhang Q, Yan F, Li K, Ai H (2019) Impact of market misallocations on green TFP: evidence from countries along the Belt and Road. Environ Sci Pollut Res 26(34):35034–35048

    Google Scholar 

  • Zhang S (2015) Evaluating the method of total factor productivity growth and analysis of its influencing factors during the economic transitional period in China. J Clean Prod 107:438–444

    Google Scholar 

  • Zhou Y, Xu Y, Liu C, Fang Z, Fu X, He M (2019) The threshold effect of China’s financial development on green total factor productivity. Sustainability 11(14):3776

    Google Scholar 

  • Zhu X, Chen Y, Feng C (2018) Green total factor productivity of China’s mining and quarrying industry: a global data envelopment analysis. Resour Policy 57:1–9

    Google Scholar 

Download references

Funding

This research is supported by the Beijing Key Laboratory of Urban Spatial Information Engineering (NO. 20210218).

Author information

Authors and Affiliations

  1. School of Management and Engineering, Xuzhou University of Technology, Xuzhou, China

    Syed Abdul Rehman Khan

  2. Beijing Key Laboratory of Urban Spatial Information Engineering, Beijing, China

    Syed Abdul Rehman Khan

  3. School of Economics and Management, Chang’an University, Xi’an, China

    Zhang Yu

  4. Faculty of Business Economics and Social Development, Universiti Malaysia Terengganu, Kuala Terengganu, Malaysia

    Muhammad Umar

Authors
  1. Syed Abdul Rehman Khan
    View author publications

    You can also search for this author in PubMed Google Scholar

  2. Zhang Yu
    View author publications

    You can also search for this author in PubMed Google Scholar

  3. Muhammad Umar
    View author publications

    You can also search for this author in PubMed Google Scholar

Contributions

SARK, ZY, and MU: conceptualization, methodology software. ZY, MU: data collection, writing-original draft preparation. SARK, ZY, and MU: visualization, investigation. SARK and ZY: software, validation. SARK, ZY, and MU: writing-reviewing and editing.

Corresponding author

Correspondence to Syed Abdul Rehman Khan.

Ethics declarations

Ethics approval and consent to participate

Not applicable.

Consent for publication\

Not applicable.

Competing interests

The authors declare no competing interests.

Additional information

Responsible Editor: Eyup Dogan

Publisher's note

Springer Nature remains neutral with regard to jurisdictional claims in published maps and institutional affiliations.

Rights and permissions

Reprints and permissions

About this article

Check for updates. Verify currency and authenticity via CrossMark

Cite this article

Khan, S.A.R., Yu, Z. & Umar, M. A road map for environmental sustainability and green economic development: an empirical study. Environ Sci Pollut Res 29, 16082–16090 (2022). https://doi.org/10.1007/s11356-021-16961-1

Download citation

  • Received:

  • Accepted:

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1007/s11356-021-16961-1

Keywords

Search

Navigation