The influence of technological innovation and human capital on environmental efficiency among different regions in Asia-Pacific
The influence of technological innovation and human capital on environmental efficiency among different regions in Asia-Pacific
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Date
2020-12
Authors
Mensah, Nyarko Claudia
Twum, Florence Appiah
Tachie, Andrew Kwamena
Salman, Muhammad
Kankam, William Adomako
Long Xingle
Journal Title
Journal ISSN
Volume Title
Publisher
Environmental Science and Pollution Research
Abstract
This study employs super-efficiency DEA model with desirable inputs and an undesirable output in calculating environmental
efficiency values in different regions in Asia-Pacific from 1990 to 2018. The study compares environmental efficiency index in
South East Asia, South Asia and East Asia. The study also evaluates the determinants of environmental efficiency using truncated
regression. The mean environmental efficiency score demonstrates that East Asia region is highly efficient whereas South East
Asia is the least efficient. Results from the truncated regression established an inverted U-shape relationship between environ mental efficiency and Technological Innovation (TI) in the main panel, and the three regions. Also, economic growth shows an
inverted āUā shape link with environmental efficiency in the panels except in South East Asia. Human capital promotes
environmental efficiency in the main panel and the rest of the regions. Moreover, while FDI promotes environmental efficiency
in the main panel and East Asia, it reduces environmental efficiency in both South East and South Asia regions within the Asia Pacific. In addition, an interaction effect between technological innovation and renewable energy use, advances environmental
efficiency within the entire study countries. Based on the findings the study proposes several policy recommendations.