The efficiency of natural resource consumption and government administration concerning green economic growth in Asian countries

Abstract

This paper seeks the relationship between natural resources, public administration, and green economic growth in 30 Asian economies divided into two different income level groups over 2010–2021 by the FMOLS technique. The preliminary results confirmed that the efficiency of natural resource consumption and government administration in Asian countries has a significant positive effect. Moreover, fossil fuel consumption in both groups of countries has a negative and significant effect on economic growth. Furthermore, the green finance market and patent applications have a significant positive effect only in high-income Asian countries. In high-income Asian economies, there are bi-directional causality linkages among green economic growth, natural resource utilization efficiency, and public administration quality. In contrast, green economic growth in low-income economies cannot cause natural resource consumption efficiency and more suitable quality of public administration. Green multilateralism and establishing a green value chain are recommended as practical policies.