Transition towards the sustainable development: unraveling the effects of mineral markets, Belt & Road Initiative, and the Paris Agreement on green economic growth

Abstract

The Agenda 2030 strongly emphasizes implementing effective and equitable measures to address the urgent challenge of global warming, primarily driven by unsustainable fossil-fuel combustion, and one of its core focuses is Sustainable Development Goal (SDG) – 8, among others. In light of this, the recent article aims to explore the dynamic nexus between minerals (MNR), the Belt and Road Initiative (BRI), the Paris Agreement (PA), green technologies (GT), and green growth, with a specific focus on developing a policy framework for advancing SDG – 8. The study utilizes daily data and advanced econometric tools such as QVAR, Cross-quantileogram, and wavelet-quantile correlation to examine the diverse effects of these factors on green growth across various time horizons. The short-run analysis reveals that MNR, BRI, and GT discourage green growth under most market conditions, except for a few quantiles that exhibit positive or insignificant relationships. In the medium run, impacts are mixed, with both positive and negative effects observed. However, in the long run, MNR, BRI, and GT consistently demonstrate favorable effects on green growth. For PA, short and medium-run effects are mixed, but medium-run results indicate a predominantly positive impact on green growth. In the long run, PA significantly benefits green growth across the majority of market conditions. Overall, the diversified results suggest that minerals, BRI, the Paris Agreement, and green technologies play a crucial role in stimulating green growth to achieve SDG - 8 in the long term.