Exploring an interdisciplinary approach to sustainable economic development in resource-rich regions: An investigation of resource productivity, technological innovation, and ecosystem resilience

Abstract

Sustainable economic development is a multidimensional concept that encompasses not only economic growth but ecological resilience to protect the environment and human well-being. This study investigates the interdisciplinary approach to sustainable economic development by using biocapacity, natural resources, technological innovation, institutional quality, and trade in the context of resource-rich countries. The study used panel data covering the period from 1995 to 2022 and employed a series of econometric techniques such as cross-section dependence, second-generation unit root, Westerlund co-integration, and AMG regression techniques. The empirical findings demonstrate a stable, long-term relationship between sustainable economic growth and the aforementioned variables. Moreover, the study found that ecological resilience, institutional quality, trade openness, and technological innovation have significant positive impacts on sustainable economic development in resource-rich countries. However, natural resource dependence shows a negative association with sustainable economic development, confirming the “resource curse” hypothesis in the long run. This study recommends strategic interventions, including investment in ecological resilience, strengthening institutional quality, diversification of economic activities, regulating natural resource utilization, and promoting technological innovation to promote sustainable economic development in resource-rich regions.