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Technology transfer for green investments: exploring how technology transfer through foreign direct investments can contribute to sustainable practices and reduced environmental impact in OIC economies

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Abstract

Estimating the asymmetrical influence of foreign direct investment is the primary goal of the current study. In addition, further controlled variables affect environmental degradation in OIC nations. Due to this, current research employs the asymmetric (NPARDL) approach and the data period from 1980 to 2021 to estimate about viability of the EKC (environmental Kuznets curve) theory. The study utilized greenhouse gas (GHG) including emissions of carbon dioxide (CO2), nitrous oxide (N2O), methane (CH4), and ecological footprint as substantial parameters of environmental quality. A nonlinear link between foreign direct investments, trade openness, economic growth, urbanization, energy consumption, and environmental pollution with CO2, N2O, CH4, and ecological footprint in the OIC nations is confirmed by the study’s outcomes, which however reveals inconsistent results. Furthermore, the results also show that wrong conclusions might result from disregarding intrinsic nonlinearities. The study’s conclusions provide the most important recommendations for decision-makers.

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Data nvailability

The raw data used in this can be available upon reasonable request to the corresponding author.

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Authors and Affiliations

  1. School of Finance and Economics, Hainan Vocational University of Science and Technology, Haikou, 570000, China

    Meijing Song

  2. School of Management, Universiti Sains Malaysia, 11800, George Town, Penang, Malaysia

    Meijing Song

  3. Faculty of Economics and Commerce, Superior University, Lahore, Pakistan

    Alvena Anees

  4. Business School, Zhengzhou University, Zhengzhou, Henan, China

    Saif Ur Rahman & Muhammad Sibt E. Ali

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Contributions

MS: introduction-design.

AA: data collection-literature review-original draft.

SUR: methodology section—original draft—supervision.

MSEA: execution—analysis part.

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Correspondence to Saif Ur Rahman.

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Song, M., Anees, A., Rahman, S.U. et al. Technology transfer for green investments: exploring how technology transfer through foreign direct investments can contribute to sustainable practices and reduced environmental impact in OIC economies. Environ Sci Pollut Res 31, 8812–8827 (2024). https://doi.org/10.1007/s11356-023-31553-x

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