How does technological innovation affect the ecological footprint? Evidence from E-7 countriesin the background of the SDGs

Abstract

Abstract This research aimed to investigated relationship among technological innovation (TI), renewable energy consumption (REC), natural resource rents (NRR), and ecological footprint (EF) of E-7 (i.e., Brazil, China, India, Indonesia, Mexico, Russia and Turkiye) countries from 1992 to 2018, to ensure environmental sustainability in the background of the Sustainable Development Goals (SDGs). The study was analyzed using the ARDL estimator, robustness test and Dumitrescu Hurlin panel causality (DHC) test. Long-term empirical estimates from the PMG-ARDL technique have shown that TI and REC reduce the EF, that is, increase environmental sustainability. At this point, it is seen that TI s and REC help in reaching SDG-7 and 13 in E-7 countries. However, on the contrary, it has been determined that NRR and real income (GDP) increase the EF. Findings were confirmed using robustness methods. In the DHC test results, while there is a unidirectional causality relationship from TI to EF, from EF to NRR and trade openness, a bidirectional causality relationship was found among GDP and EF. This study suggests that policy makers should focus on implementing environmentally friendly equipment to reduce environmental degradation, increase the share of REC and focus on sustainable development within the framework of the SDGs.