Abstract

This paper analyzes the green growth (GG) effects of digitalization using panel data from 164 countries spanning the period from 1990 to 2023. The study uses four measures of digitalization: internet users, broadband, mobile cellular, and fixed telephone subscriptions. The empirical results are estimated employing pooled ordinary least squares, fixed effects, random effects, system generalized method of moments, and panel quantile regression estimation approaches. STATA software is used to analyze the data. The results suggest that the proliferation of digitalization measures tends to boost GG. The results based on principal component analysis also confirm the positive impact of digitalization on GG. Furthermore, the GG-improving influence of digitalization remains robust across all quantiles. The role of renewable energy also turns out to be conducive to improving GG prospects. However, the roles of financial development and trades are not robust in influencing GG. The GG effects of financial development vary from a positive influence at lower quantiles to a negative influence at higher quantiles. Conversely, the GG effect of trade varies from a negative influence at lower quantiles to a positive influence at higher quantiles.