Abstract
Using panel data from 30 provinces in China from 1995 to 2017, this study explores the impact of natural resource rent, transportation infrastructure, innovation, financial development, green investment and energy investment on carbon emission and its role in achieving the sustainable development goals. In order to obtain long-term and short-term estimates, the auto-regression distribution lag model (ARDL) is used in this study. The results confirm that natural resource rent, transportation infrastructure, innovation, energy investment and carbon emission are significantly positively correlated in long-term and short-term. Financial development and carbon emission are not significant in short term, but in the long term, financial development will contribute to the rise of carbon emissions. Green investment will increase short-run carbon emissions, whereas it really can control carbon emissions, which is different from other studies. This research proposes to improve the level of innovation and reduce carbon emission in other fields through technological innovation, increase green investment and renewable energy investment and combine with financial development to invest more funds in low carbon environmental production industries and to build an environment friendly system.
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