Green GDP: The key to sustainable development

Abstract

Green Gross Domestic Product (GGDP) is an economic indicator designed to measure the environmental losses caused by economic growth. It takes into account factors such as the value of ecosystem services, environmental pollution and depletion of natural resources, thus providing a more comprehensive way of assessing economic development. Green growth is a special strategy for sustainable development, which provides a way to solve environmental problems and use natural resources.First, we investigate the impact of green technologies and growth on environmental factors in gross domestic product (GDP) in multiple countries from 2000 to 2020. In addition, it explores the linear and nonlinear effects of green GDP growth. The results show that the linear effect of GGDP has a positive effect on green growth. Conversely, the nonlinear effects of GDP have a negative impact on green growth.We then used the Bayer-Hanch cointegration test on a sample of G7 countries to study the impact of technological innovation (green patents) on green growth (e.g. EAMFP). Through indicators such as green growth, GDP, energy consumption, green technology innovation and pollution emissions, a multivariate linear model is established to estimate its impact on global climate change mitigation. Finally, we discuss the advantages and disadvantages of the model, leaving room for further study.