Will digital trade be friend or foe of the green economy? Unveiling the complexities of green growth

This study employs the Autoregressive Distributed Lag (ARDL) model to examine the long-term equilibrium effects of digital trade (DT), foreign direct investment (FDI), material footprint (MT), and technological innovation (TI) on green total factor productivity (GTFP) across 52 countries from 2005 t...

Full description

Saved in:
Bibliographic Details
Main Authors: Tinghui Zhang, Chang Hwan Choi
Format: Article
Language:English
Published: Taylor & Francis Group 2025-12-01
Series:Journal of Applied Economics
Subjects:
Online Access:https://www.tandfonline.com/doi/10.1080/15140326.2025.2464591
Tags: Add Tag
No Tags, Be the first to tag this record!
_version_ 1849420483579084800
author Tinghui Zhang
Chang Hwan Choi
author_facet Tinghui Zhang
Chang Hwan Choi
author_sort Tinghui Zhang
collection DOAJ
description This study employs the Autoregressive Distributed Lag (ARDL) model to examine the long-term equilibrium effects of digital trade (DT), foreign direct investment (FDI), material footprint (MT), and technological innovation (TI) on green total factor productivity (GTFP) across 52 countries from 2005 to 2021. The findings reveal a long-term equilibrium relationship among variables, with DT and TI positively contributing to GTFP growth, while MT and FDI impede it. Non-linear relationships between DT and GTFP are observed at specific quantiles. In developed countries, education enhances DT’s positive effect on GTFP, whereas in developing countries, it appears to have a negative impact. The study advocates for enhancing DT infrastructure and reducing educational inequalities to foster environmental and economic sustainability.
format Article
id doaj-art-e5a2a8b29833428284dbea87e660ec73
institution Kabale University
issn 1514-0326
1667-6726
language English
publishDate 2025-12-01
publisher Taylor & Francis Group
record_format Article
series Journal of Applied Economics
spelling doaj-art-e5a2a8b29833428284dbea87e660ec732025-08-20T03:31:45ZengTaylor & Francis GroupJournal of Applied Economics1514-03261667-67262025-12-0128110.1080/15140326.2025.2464591Will digital trade be friend or foe of the green economy? Unveiling the complexities of green growthTinghui Zhang0Chang Hwan Choi1International Trade, Dankook University, Yongin-si, South KoreaInternational Trade, Dankook University, Yongin-si, South KoreaThis study employs the Autoregressive Distributed Lag (ARDL) model to examine the long-term equilibrium effects of digital trade (DT), foreign direct investment (FDI), material footprint (MT), and technological innovation (TI) on green total factor productivity (GTFP) across 52 countries from 2005 to 2021. The findings reveal a long-term equilibrium relationship among variables, with DT and TI positively contributing to GTFP growth, while MT and FDI impede it. Non-linear relationships between DT and GTFP are observed at specific quantiles. In developed countries, education enhances DT’s positive effect on GTFP, whereas in developing countries, it appears to have a negative impact. The study advocates for enhancing DT infrastructure and reducing educational inequalities to foster environmental and economic sustainability.https://www.tandfonline.com/doi/10.1080/15140326.2025.2464591Green total factor productivity (GTFP)digital trade (DT)technology innovation (TI)sustainable development
spellingShingle Tinghui Zhang
Chang Hwan Choi
Will digital trade be friend or foe of the green economy? Unveiling the complexities of green growth
Journal of Applied Economics
Green total factor productivity (GTFP)
digital trade (DT)
technology innovation (TI)
sustainable development
title Will digital trade be friend or foe of the green economy? Unveiling the complexities of green growth
title_full Will digital trade be friend or foe of the green economy? Unveiling the complexities of green growth
title_fullStr Will digital trade be friend or foe of the green economy? Unveiling the complexities of green growth
title_full_unstemmed Will digital trade be friend or foe of the green economy? Unveiling the complexities of green growth
title_short Will digital trade be friend or foe of the green economy? Unveiling the complexities of green growth
title_sort will digital trade be friend or foe of the green economy unveiling the complexities of green growth
topic Green total factor productivity (GTFP)
digital trade (DT)
technology innovation (TI)
sustainable development
url https://www.tandfonline.com/doi/10.1080/15140326.2025.2464591
work_keys_str_mv AT tinghuizhang willdigitaltradebefriendorfoeofthegreeneconomyunveilingthecomplexitiesofgreengrowth
AT changhwanchoi willdigitaltradebefriendorfoeofthegreeneconomyunveilingthecomplexitiesofgreengrowth