Dutch disease revisited: China's provincial data perspective with the role of green finance and technology peak

Abstract

Technology peak in the context of natural resources in terms of economic performance has not been explored in the literature. The study used provincial data over the period of 1995–2017 with the implication of the novel panel methods including the Method of Moment Quantile Regression and Bootstrap Quantile Regression. The study found that local fiscal expenditures improve economic performance. Similarly, improvement in technological innovation also contributes substantially to economic performance. For provincial data, the Dutch disease phenomena (natural resources effect) does not exist for China, and it further improves economic performance. The importance of green finance also contributes significantly to China's economic performance provincially. On the other hand, foreign direct investment is also found crucial for economic improvement. The study encourages green finance, revenue from natural resources, technological innovation, and foreign direct investment to achieve sustainable development goals.