Does Environmental Innovation Promote Economic Sustainability? Evidence from Emerging Economies

Endogenous growth models (i.e., Lucas and Romer) highlight the significant impact of technology in promoting economic growth. The literature thus suggests the critical role of technological innovation in growth and development. Recently, digital and environmental innovations have become the center stage for policymakers to achieve sustainable growth and development under the UN Sustainable Development Goals (SDGs) agenda. Due to the trade-off between economic productivity and environmental quality, researchers and policymakers are now keen to examine the role of digital and environmental innovation on green growth instead of conventional economic productivity.