Cross-sectional Autoregressive Distributed Lag Research Articles

Improving household well‐being through entrepreneurship and inclusive finance in the context of the Next‐11 countries

AbstractScholarship brainstorming on household welfare enablers abounds in academic literature. Nonetheless, the perspective of entrepreneurship, particularly for the Next‐11 countries, is underreported. Likewise, prior literature failed to investigate the influence of categorical (gender‐specific) entrepreneurship on household welfare. Thus, this investigation covers this lacuna by examining the predictive effects of aggregate, male and female entrepreneurship and financial inclusiveness on household welfare. With panel series spanning 2004–2021, both the Westerlund and Banerjee & Carrion‐i‐Silvestre cointegration procedures confirmed long‐term convergence among the series. The estimates of the augmented mean group (AMG) and the cross‐sectional autoregressive distributed lag (CSARDL) techniques revealed that entrepreneurship enhances household well‐being. This outcome validates the self‐determination theory since entrepreneurial engagements enhance household welfare. By extension, policies targeting entrepreneurship empowerment are critical for economic prosperity in these countries. In terms of gender variations, it is established that female entrepreneurship, much more than male, enhances household well‐being significantly. Furthermore, although automated teller machine availability promotes subjective well‐being, the number of commercial bank branches enhances only objective well‐being. Meanwhile, commercial bank loans failed to enhance both aspects of welfare at all times. Hence, we have provided relevant policy options that would ensure the maximization of households’ well‐being in these countries and other emerging economies.

Impact of green technology and energy on green economic growth: role of FDI and globalization in G7 economies

With the increase in economic growth, the world is facing serious challenges concerning environmental sustainability. Hence, the green economic growth is imperative for sustainable and inclusive development. The objective of this study is to contribute to the existing literature about the factors that influence green economic growth. The study investigates the role of green technology, green energy, foreign direct investment, and globalization on green economic growth in G7 countries. The data of the study is collected from WDI, KOF Swiss Economic Institute, and OECD database and the data period ranges from 1995 to 2020. The existence of cointegration between the variables of the study was tested by Westerlund’s (Oxford Bull Econ Stat 69(6):709–748) cointegration test. Due to the presence of cross-sectional dependency, the study employed the cross-sectional autoregressive distributed lag (CS-ARDL) method to estimate the coefficients in the long and short run. The study also used a common correlated effect—mean group (CCEMG) estimator for robustness check. The findings of the study reveal that green energy and FDI positively contribute to green economic growth in the long and short run. The green technology also contributes positively to enhance green economic growth but only in long run. To accelerate green economic growth, G7 countries should incorporate policies promoting green energy and technology, while acquiring more foreign investments to ensure a sustainable development.

How natural resources and technological advancements affect environmental quality: Evidence from load capacity factor in N‐11 nations

AbstractThe pressing issues of global climate change and environmental degradation necessitate the development of novel sustainable growth models by humanity. The efficacy of growth policy is strongly contingent upon the fundamental principles of productivity, such as efficient resource management. This study contributes to the investigation of the influence of natural resources (NRs) and several indices measuring productive capacity index (CI) on the environment of developing N‐11 countries (Bangladesh, Egypt, Indonesia, Iran, Mexico, Nigeria, the Philippines, South Korea, Pakistan, Turkey, and Vietnam) during 2000–2022. The research employed the cross‐sectional Autoregressive Distributed Lag (CS‐ARDL) model to examine the relationship between the variables. The empirical evidence indicates that there is a positive relationship between CI, technical innovation (TEC), NR, and gross domestic product (GDP) with the load capacity factor (LCF). Evidently, the sub‐indicators of CI present diverse results. The enhancement of productive CI in human capital, information, and communication technology (ICT), structural change, and governance has been found to foster ecological sustainability. Conversely, the domains of transport, private sector development, and energy utilization have been observed to contribute to the reduction of environmental pollution. This study posits that enhancing operational efficiencies and productive CI is associated with improved ecological outcomes.

Revisiting the EKC framework concerning COP-28 carbon neutrality management: Evidence from Top-5 carbon embittering countries

In the aftermath of the 28th Conference of the Parties (CoP) climate summit in the UAE, the majority of developing countries encounter challenges in attaining their objectives of carbon neutrality for a sustainable economy. The association of economic factors such as economic growth, governance structures, forest area, renewable energy consumption, technological innovation, and urbanization with environmental elements (carbon footprint) is vital for sustainable economic development and environmental management strategies. Therefore, this research reveals this association in five selected high-emitting countries spanning from 1990 to 2022. This research utilizes the Environmental Kuznets Curve (EKC) framework to investigate the interrelationship between these variables. To do so, this study employs the cross-sectional autoregressive distributed lags (CS-ARDL) statistical technique to determine the short- and long-term impacts of the variables under investigation on carbon footprint. In contrast, the mean group (MG) and common correlated effect mean group (CCEMG) have been applied for robustness. The findings revealed that GDP, urbanization, and forest area have positive associations with carbon footprints, whereas GDP square, renewable energy consumption, technological innovation, and governance effectiveness have inverse relationships with carbon footprints. These findings provide all stakeholders with valuable policy recommendations and management advice for accelerating the transition of renewable energy to low-carbon and green growth.

The role of financial and trade globalization in enhancing environmental sustainability: Evaluating the effectiveness of carbon taxation and renewable energy in EU member countries

The study addresses the pressing issue of environmental degradation, pinpointing carbon dioxide (CO2) emissions as its primary driver, posing a threat to global environmental sustainability, including the member countries of the European Union (EU). Global warming problems persist, but previous studies have not adequately explored the factors that contribute to a reduction in carbon emissions in EU countries. The paper fills the gap by assessing the efficacy of carbon tax and eco-innovation in mitigating CO2 levels from 1994 to 2019, considering the influence of renewable energy and various aspects of globalization. The study establishes long-term associations among the indicators examined using advanced methodologies, including the cross-sectional autoregressive distributed lag approach and the Westerlund cointegration method. Notably, the results highlight that carbon taxes, eco-innovation, renewable energy, and globalization contribute to slowing environmental deterioration, and economic progress plays a role in mitigating environmental sustainability challenges in EU member states. These findings reinforce the importance of robust strategies for reducing CO2 emissions and minimizing adverse environmental impacts.

Renewable energy intensity and efficiency of fossil energy fuels in the nordics: How environmentally efficient is the energy mix?

In recent years, energy intensity-efficiency has improved in the Nordic states and largely among the European Union member states, thus accounting for the region's impressive performance in terms of environmental sustainability. Clearly, there is paucity of literature on the criticality of renewable energy efficiency/intensity as compared with disaggregated fossil fuel efficiency. To offer more novelty, environmental sustainability (de) merit of renewable energy intensity is compared with fossil (oil, natural gas, and coal) fuel efficiency in the panel of Nordic states over the period 1990–2020 by employing relevant econometric approaches such as the cross-sectional autoregressive distributed lag (CS-ARDL). Importantly, the result shows that a percentage increase in renewable energy intensity mitigates greenhouse gas (GHG) emissions by ∼0.45% against ∼0.29% by oil energy efficiency in the long run, thus suggesting that environmental performance of renewable energy intensity outweighs the efficient use of oil fuel. Additionally, renewable energy intensity also outperforms efficient use of natural gas and coal energy by ∼0.51%–∼0.37% and ∼0.43%–∼0.17% respectively. However, economic growth and environmental-related innovations spur GHG emissions, implying that the Nordic countries are decoupling economic performance from environmental setbacks amidst structural shift via technological innovations. The results are considered formidable for the specificity of energy mix policy especially in Denmark, Finland, Norway, and Sweden.

Pathway toward sustainable blue economy: Consideration of greenhouse gas emissions, trade, and economic growth in 25 nations bordering the Indian ocean

The sustainability of the blue economy (BE) may be impeded by the adverse consequences of human activities, such as greenhouse gas (GHG) emissions, unsustainable economic expansion, and engagement in environmentally harmful trading practices. Therefore, this study aims to determine the impact of GHG emissions, trade, and economic growth on the BE. To achieve this, we used a panel dataset of 25 selected countries surrounding the Indian Ocean, covering the period 2002–2019. As a process of estimation, we employed the Westerlund error correction model to detect cointegration. To determine the long-term relationship among the variables, we adopted the cross-sectional autoregressive distributed lag (CS-ARDL) approach, which revealed a significant outcome in the long run but an insignificant outcome in the short run. In response to this divergence, the panel corrected standard error (PCSE) model was applied to correct the autocorrelation problem. Subsequently, a two-step generalized methods of moment (GMM) test was conducted to check robustness. Based on the results of PCSE and GMM, this study reveals that trade has a negative effect on the BE, while GHG emissions and economic growth have a positive ascendance. From a policy standpoint, all governments must integrate ocean-based solutions into their national climate pledges to fulfill the objectives outlined in the Sustainable Development Goals (SDGs), particularly SDG 14 (Life Below Water).

Exploring the Criticality of Natural Resources Management and Technological Innovations for Ecological Footprint in the OECD Countries

ABSTRACT: The urgent imperative to confront the complex interplay between managing natural resources and fostering technological innovation, particularly in OECD countries, has become a focal point in global conversations. It is abundantly clear that critical issues such as the rampant overexploitation of our natural resources, insufficient embrace of sustainable practices, and the profound repercussions of technological advancements on our ecological footprint demand meticulous scrutiny and comprehensive action. This scrutiny is vital to guide the formulation of judicious policies and strategies capable of addressing these complex challenges. The challenges faced by OECD countries, distinguished by their advanced industrialization, and elevated standards of living, are further compounded by the depletion of natural resources resulting from extensive economic activities. The extraction and utilization of resources, encompassing water, minerals, and energy, emerge as significant contributors to ecological degradation. The heightened demand for raw materials to sustain technological industries has precipitated the overexploitation and depletion of natural resources, manifesting in activities such as mining, deforestation, and other extraction processes, leading to habitat destruction and biodiversity loss. Furthermore, the manufacturing and utilization of technology, particularly within industries heavily reliant on non-renewable energy sources, have been substantial contributors to pollution and greenhouse gas emissions. The study assesses the dynamic relationship between natural resources, economic growth, and technological innovation with respect to ecological footprints. It analyses the annual data series of a panel of 20 organisation for economic cooperation and development countries using the second-generation cointegration panel and cross-sectional autoregressive distributed lag methodology. The results of the slope coefficient confirm the existence of slope heterogeneity among countries. Furthermore, it affirms the long-term relationship among variables. Overall, the findings highlight the importance of effective utilisation of resources while investing in technological innovation to attain sustainable development goals.

Do mineral imports increase in response to decarbonization indicators other than renewable energy?

While previous studies examine the impact of renewable energy generation capacity on mineral imports where minerals are broadly defined, this study examines the role of three decarbonization indicators (energy efficiency, energy's carbon footprint, and renewable generation) in driving import demand for four specific minerals used in multiple decarbonization technologies: copper, aluminum, nickel, and manganese. Our results, based on the cross-sectional autoregressive distributed lag modeling approach applied to panel data from 33 countries, suggest that imports for some minerals increase in response to (1) investments in energy efficiency (aluminum and manganese), (2) reducing energy's carbon footprint (copper), and (3) investments in renewable energy generation (copper and manganese). Nickel imports were found to increase with higher levels of energy use per GDP suggesting their role in cleaner vehicles, which heavily rely on electrification, higher electricity use, and urbanization. When imports are broadly defined to include all types of mineral groups, import values were found to be responsive to higher renewable generation but not the other decarbonization indicators. Our findings provide insights into developing mineral-specific strategies and policy frameworks to ensure supply chain resilience.

Does ICT diffusion validate skill-biased technological change hypothesis? Evidence from the post-Soviet countries

This study scrutinizes the impact of ICT diffusion on decomposed measures of income inequality in post-Soviet countries. We apply the Cross-Sectional Autoregressive Distributed Lags (CS-ARDL) approach to examine the dynamics of our panel time series data from 1991 to 2019. Empirical evidence suggests that ICT diffusion is negatively associated with the income of the top segments (the top 1 % and 10 %) of the population in the long term, while its impact is insignificant in the short term. Moreover, the ICT diffusion de facto (policy-implementation spectrum) primarily promotes the income share of the bottom class, probably by providing new market opportunities. The spread of ICT, in terms of policy decisions, leads to a notable decrease in the income proportion held by the top 10 % of earners, exhibiting the most significant level of responsiveness. Furthermore, our findings infer that government expenditure can also play a crucial role in reducing income inequality by decreasing the income portion of the top segment. The implications of our findings have direct relevance for policymakers in formulating effective strategies regarding ICT diffusion-income inequality nexus.

Investigating the simultaneous impact of infrastructure and geographical factors on international trade: Evidence from asian economies

Infrastructure and geography are the most important components of international trade. They provide trade-oriented amenities for the trade volume among trading partners. Thus, this study assesses the simultaneous impact of infrastructure and geographic factors on trade in Asian economies from 2004 to 2020. This work contributes to the existing literature by exploring the significance of infrastructure and geography in international trade. Furthermore, this research seeks to determine whether these factors have complementary or simultaneous effects. To examine these aspects, the augmented gravity model and cross-sectional autoregressive distributed lags are used in the current model. Then, the multilateral resistance terms are corrected. Results reveal that infrastructure has a significant and positive impact on trade. More precisely, transport infrastructure, communication infrastructure, financial infrastructure, and border-transport efficiency are productive influencers for trade over a certain period. Notably, the simultaneous impacts of infrastructure and geographic factors can lead to the deterioration of trade volume. The policy implications and future research direction of this study suggest that economies should improve infrastructure and geographic factors through gross domestic product.

How infrastructure development, technological innovation, and institutional quality impact the environmental quality of G7 countries: A step towards environmental sustainability

AbstractDespite the economic success, the G7 nations have not adequately prioritized environmental welfare. However, these nations must recognize that economic prosperity cannot be sustained without safeguarding environmental sustainability. In short, environmental protection is a necessary component of achieving sustainable development goals. For this matter, this study aims to analyze the effects of accumulative infrastructure development, economic growth, foreign direct investment, technological innovation, and institutional quality on the CO2 emissions of the G7 countries. Using annual panel data from 1996 to 2020, this study employs cross‐sectional autoregressive distributed lags (CS‐ARDL) to determine the environmental impacts of the variables under investigation. The findings show that foreign direct investment and institutional quality have a favorable effect and improve environmental quality. In contrast, the accumulative (transport, energy, financial, and information and communication [ICT]) infrastructure development, economic growth, and technological innovation stimulate environmental degradation by increasing CO2 emissions. These results are found robust, as validated by the Common Correlated Effect Mean Group (CCEMG). In line with these crucial findings, governments have suggested that specific measures supporting innovation in environmental‐related technologies, infrastructure development, and economic growth must be implemented to mitigate CO2 emissions in the G7 countries.

Influence of trade liberalization and digital trade on material footprint in the BRICS region

Resource efficiency (REF) is essential in designing a sustainable climate policy. Environmental susceptibility and resource deficiency instigate the economies worldwide on how to maintain and identify the factors of REF. Although numerous studies explore the determinants of sustainable resource management, scant attention has been given which integrates and evaluating its linkage with trade liberalization (TL), digital trade (DT), and technology innovations (TI). In this dimension, our study scrutinizes the influence of TL, DT, and TI on REF in BRICS economies using the annual data from 2005 to 2021. Besides, economic prosperity (GDP) and industrial value addition (IVA) are included as control variables to enhance the model's performance. For empirical assessment, the study employs the cross-sectional autoregressive distributed lag (CS-ARDL) technique to address the issues of cross-section dependency and slope heterogeneity. The model's findings reveal that TL, DT, and TI are the significant factors of REF in reducing the resource footprint; however, GDP and IVA decrease the REF by spurring resource consumption. In addition, the findings are echoed through alternative panel estimators. The overall outcomes provide result-based recommendations to the policymakers that they should promote digital transformation and technological enhancements in international trade policy to achieve resource sustainability.

Environmental deterioration in the age of industrialization and production: do industrial competition and renewable energy reduce the ecological burden?

The modern era of globalization, economic development, and increase in manufacturing activity pose severe risks to the natural environment. In this context, industries must prioritize sustainable economic growth and development. Thus, the purpose of this study is to provide insight into industrial competition, renewable energy, economic freedom, manufacturing value added, economic growth, and carbon dioxide emissions (CO2 emissions) in the top ten high-income countries from 1997 to 2019. The results from panel cross-sectional autoregressive distributed lag (CS-ARDL), augmented mean group (AMG), and common correlated effects mean group (CCEMG) techniques revealed that economic growth and industrial production have a harmful influence on CO2 emissions. Meanwhile, industrial competitiveness, renewable energy, and economic freedom are all negatively associated with CO2 emissions. This specifies that industrial competitiveness, renewable energy, and economic freedom are favorably related to environmental sustainability by limiting CO2 emissions in the top ten high-income countries. These findings imply that governments and responsible authorities/policymakers develop strategies to reduce the environmental impact of manufacturing value addition and economic growth in the top ten high-income countries and allocate more financial resources to renewable energy and promote industrial competition.

Moderating effect of governance on healthcare and environmental emissions

Governance has become indispensable within the healthcare sector, but previous studies have not explored the potential environmental benefits linked to healthcare governance. Thus, this study focuses on the role of governance in moderating healthcare and environmental emissions in 159 low, lower-middle, upper-middle and high-income countries. To do so, cross-sectional autoregressive distributed lag (CS-ARDL) techniques were applied using panel data from 1999 to 2021, followed by the computation of threshold and marginal effect of governance on healthcare and environmental emissions nexus. Findings revealed that, with the exception of high-income countries in the short run, governance has an insignificant impact on healthcare and emissions nexus in low-, lower-middle and upper-middle-income countries. Surprisingly, the findings imply that, in the long run, countries with greater levels of governance are likely to have lesser environmental impacts related to healthcare. There was also evidence indicating that low, lower-middle, upper-middle and high-income countries must reach a certain level of governance before realising the benefits of healthcare. Therefore, to achieve lower environmental impacts from healthcare, countries must promote effective governance policies that can incentivise and enforce sustainable practices and technologies in the healthcare sector.

Assessing factors influencing renewable energy deployment and the role of natural resources in MENA countries

Governments worldwide are deploying renewable sources as a part of an imperative agenda to overcome the detrimental impacts of climate change and environmental degradation. Although renewable energy contains several benefits, very few researchers have worked on the determinants of renewable energy deployment and the role of natural resources in the Middle East and North Africa (MENA) countries. This research contributes to the prior literature by examining the influence of financial growth, governance, environmental quality, and economic development in MENA countries from 1990 to 2020. For empirical estimation, this study employs the latest econometric approaches: cross-sectional autoregressive distributed lag (CS-ARDL), augmented mean group (AMG), and Westerlund & Edgerton's cointegration. Furthermore, the cross-sectional augmented Im-Pesaran-Shin (CIPS) and cross-sectional augmented Dickey-Fuller (CADF) panel unit root tests are employed to check the stationarity level among variables. The empirical outcome demonstrates that governance, financial growth, the interaction term between financial growth and governance, carbon emissions, and economic development significantly and directly influence renewable energy deployment in MENA countries. As a further step, robustness is checked by employing the AMG estimator. The findings from the AMG estimator verify the robustness of the study's outcomes. Thus, the empirical and robustness results make it clear that all the aforementioned variables play a significant role in renewable energy deployment in the sampled region. The policy consequences of the major efforts are laid out as well coherently and consistently.

Do environmental taxes, environmental innovation, and energy resources matter for environmental sustainability: Evidence of five sustainable economies

This study explores the relationship between environmental taxation, environmental technologies, energy resources, and consumption-based carbon emissions in five leading green economies from 2000 to 2019. The study applied the Cross-Sectional Auto-Regressive Distributed Lag (CS-ARDL) model to derive benchmark results, with Augmented Mean Group (AMG) and Common Correlated Effect Mean Group (CCEMG) techniques being utilized for conducting robustness analyses. The empirical findings suggest that environmental taxation, environmental innovations, and the consumption of renewable energy are associated with a reduction in consumption-based carbon emissions, thereby contributing to enhanced environmental sustainability. Conversely, the utilization of non-renewable energy is linked to an increase in consumption-based carbon emissions. These results align with the objectives outlined in the Sustainable Development Goals' 2030 agenda, particularly SDG 7 (Affordable and Clean Energy), SDG 9 (Industry, Innovation, and Infrastructure), and SDG 13 (Climate Action), offering valuable policy implications.

YÜKSELEN PİYASA EKONOMİLERİNDE DOĞRUDAN YABANCI YATIRIMLAR, TİCARİ AÇIKLIK VE CO2 İLİŞKİSİ

In this study, it was aimed to investigate the effect of foreign direct investment (FDI) and trade openness (TO) on environmental pollution. The study was conducted on Emerging Market Economies (EMEs), which are subject to flexible practices and conditions to attract trade and investment. The 1990-2020 data of 15 countries included in the IMF's EMEs category were tested with the following methods: The cross-sectional autoregressive distributed lag estimator (CS ARDL), Main Group (MG), Common Correlated Effects Mean Group Estimators (CCE), Augmented Mean Group (AMG), Emirmahmutoğlu and Köse (2011) Causality Test. The variables used were FDI, TO, GDP per capita and carbon dioxide (CO2) emissions. According to the results of the coefficient estimators, it was found that only GDP had a significant and positive effect on CO2 in both the short and long term, and there was no significant relationship between FDI-CO2 and TO-CO2. According to the causality test results, it was determined that there is a unidirectional relationship from CO2 to FDI and from TO to CO2, and a bidirectional relationship between GDP and CO2.

Research and development for a carbon-neutral future and the status of EKC in G7 economies: evidence from CSARDL approach.

Climate change issues present substantial obstacles to the global community's stability and humanity's overall welfare. Reducing carbon emissions is crucial in attaining environmental sustainability and addressing the consequences of SDG 13 (climate actions). The G7 nations, representing some of the largest economies globally and significantly contributing to global carbon emissions, have achieved certain advancements in mitigating their carbon footprint. Nevertheless, the attainment of carbon neutrality continues to pose a substantial obstacle. This study examines the mechanisms leading to environmental sustainability in G7 economies, explicitly emphasizing the contribution of research and development (R&D) toward attaining carbon neutrality. The present study utilizes G7 data from 1990 to 2020 to conduct an empirical analysis employing a cross-sectional autoregressive distributed lag (CSARDL) panel model. The primary objective of this investigation is to examine the influence of R&D expenditure (R&DE) on carbon emissions metric ton (CO2Mt). Furthermore, this study investigates the current state of the EKC in the economies of the G7 nations, as well as the influence of renewable energy (RE) and non-renewable energy (NRE) on CO2Mt. The results suggest that R&DE is critical in mitigating CO2Mt and attaining carbon neutrality. The study also validates the EKC implies a negative and non-linear relationship between growth and CO2Mt. Moreover, renewable and non-renewable energy validate their respective negative and positive effects on CO2Mt. The findings of our study offer valuable insights for policymakers in the G7 nations, aiding them in developing effective regulatory measures for achieving carbon neutrality goals.

The dynamic impact assessment of clean energy and green innovation in realizing environmental sustainability of G‐20

AbstractIn the context of the growth and development process, stability in environmental quality has remained a challenging issue to sustainable development, as several environmental problems, such as climate conditions, anthropogenic global warming, deforestation, and escalating degradation of water and air quality, depict a rising trend. In the contemporary materialistic paradigm, attaining a high economic growth rate while ensuring sustainable consumption of natural resources is impossible. The world needs to attain an economic growth rate that confirms sustainability in natural resource consumption and exploitation of resources introduced severe alert about the sustainability of such trajectory progress as an increase in economic growth upsurges natural reserve usage and energy demand, which leads to environmental deprivation. Both theoretical and empirical literature support that green or clean energy sources could significantly sustain environmental quality and foster economic growth. The recent literature assessed the role of green technology in promoting environmental sustainability. It emphasizes that green innovations are the most competent method to carry the competent use of resources, thereby reducing environmental degradation. Therefore, the main aim of this study is to analyze the impact of economic growth, clean energy, technological innovations, natural resources depletion, and green and sustainable technology on the environmental degradation of G‐20 nations in the frame spanning from 1992 to 2018. The results of cross‐sectional‐autoregressive‐distributed lag (CS‐ARDL) model estimation indicate the presence of a long‐run association between economic growth, number of filled applications for patents, development of environment‐related technologies as a percentage of all technologies, natural resources rents (NRR) as a percentage of GDP, renewable energy consumption, trade openness and environment degradation of G‐20 nations. This study re‐confirmed the Environmental Kuznets Curve (EKC) hypothesis for selected nations. Further, the study's findings revealed that cleaner energy and technological innovations, mainly green technology, play a significant role in sustaining the environmental conditions of these selected countries. Moreover, the degree of natural resource depletion directly impacts environmental degradation (CO₂ emission, total greenhouse gases emission and ecological footprints) in selected nations. The study underscores the importance of promoting clean energy, green technology, and sustainable practices to balance economic growth and environmental preservation and provides policymakers in G‐20 nations with valuable policy recommendations.