The role of digitalization, sustainable environment, natural resources and political globalization towards economic well-being in China, Japan and South Korea

Abstract

Under the background of technological revolutions, counter-globalization and industrial changes, exploring the economic growth model has become an important issue. Hence, the short and long-run impact of digitalization, sustainable environment, natural resources, and political globalization on economic growth by applying the Autoregressive Distributive Lag (ARDL) along with Nonlinear Autoregressive Distributive Lag (NARDL) co-integration approach in the context of three Asian countries for period 1990–2019. In the short term, the increasing level of political globalization (PG) will hinder the creation of economic well-being; sustainable environment (SE) has a positive impact on economic well-being at both high and low levels; and the reduction of natural resources (NR) will contribute to the growth of economic well-being. In the long run, influenced by the uneven distribution of technical facilities and rent-seeking behaviors, digitalization (DL) may lead to the decline of economic well-being; influenced by the problem of environmental dependence, economic well-being may increase in the low level of SE; with the establishment of international consultation mechanism, the improvement of PG promotes the generation of economic well-being; both the blessing and the curse of NS may befall the production of future economic well-being. Based on these findings, study provides some potential policy to increase economic well-being in China, Japan and South Korea.