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Understanding the dynamics of natural resources rents, environmental sustainability, and sustainable economic growth: new insights from China

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Abstract

There is a close relationship between natural resources and production in many sectors, and production and consumption can also have an environmental impact. Low environmental quality affects economic growth and well-being. Environmental protection and economic growth cannot be maximized simultaneously. Choosing the right balance between the two aims is imperative for each country. By moderating the role of merchandise trade and manufacturing value-added from 1970 to 2016, we examine the dynamics of China’s natural resource rents, environmental sustainability, and sustainable economic growth. Overall, the results of this study indicate that natural resources improve environmental sustainability at the expense of economic growth. In contrast, financial development, merchandise trade, and urban population growth promote environmental degradation. It is vital to understand governance mechanisms to sustain natural resource policies, considering environmental, social, and governance concerns to benefit society.

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Acknowledgements

This paper is a periodical achievement of the National Natural Science Foundation of China (NSFC71972011).

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  1. School of Management and Economics, Beijing Institute of Technology, Beijing, 100081, People’s Republic of China

    Hafiz Muhammad Arslan, Irfan Khan & Songsheng Chen

  2. Preston University Islamabad, Kohat, Pakistan

    Muhammad Irfan Latif

  3. Business School, University of International Business and Economics, Beijing, People’s Republic of China

    Bushra Komal

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  1. Hafiz Muhammad Arslan
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Hafiz Muhammad Arslan: literature review, conceptualization, methodology.

Irfan Khan: conceptualization, methodology, modeling, software, etc.

Muhammad Irfan Latif: writing — original draft preparation, conceptualization, methodology, modeling.

Bushra Komal: reviewing.

Songsheng Chen: supervision.

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Correspondence to Songsheng Chen.

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Arslan, H.M., Khan, I., Latif, M.I. et al. Understanding the dynamics of natural resources rents, environmental sustainability, and sustainable economic growth: new insights from China. Environ Sci Pollut Res 29, 58746–58761 (2022). https://doi.org/10.1007/s11356-022-19952-y

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