Impact of Resource on Green Growth and Threshold Effect of International Trade Levels: Evidence from China

International trade levels can change the relationship between resource endowments and green economic growth. Therefore, this study tested the resource curse hypothesis from the perspective of green growth in China using provincial-level panel data for 2005-2017. Energy conservation and environmental improvement were considered under green growth to further analyze the regional mechanism of the resource curse. A panel threshold model was used to identify the impact of import and export threshold effects on the transformation of this mechanism. The resource curse hypothesis was found to be valid nationwide; it hindered green economic growth mainly by impeding energy conservation and curbing environmental improvement. In terms of regional differences in green growth, resource endowment had a positive impact on the eastern region, a negative impact on the central region, and no effect on the western region. When the levels of import and export trade exceeded the threshold values, the resource curse effect was enhanced by reducing energy conservation and weakened by promoting environmental improvement, respectively. Therefore, the Chinese government should establish a more reasonable import and export trade structure, promote changes to the energy structure and green technological innovation, and reduce the negative impact of resource endowment on green growth.

Automated summary

This study examines the resource curse hypothesis from the perspective of green growth in China using provincial-level panel data. The results show that the resource curse hypothesis is valid nationwide, mainly hindering green economic growth by impeding energy conservation and curbing environmental improvement.