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ORIGINAL RESEARCH article

Front. Environ. Sci.
Sec. Environmental Economics and Management
Volume 12 - 2024 | doi: 10.3389/fenvs.2024.1420708

The Characteristics and Mechanisms of Carbon Finance Development on Green Economic Efficiency: An Empirical Analysis Based on Endogenous Economic Growth Model

Provisionally accepted
Yiru Chen Yiru Chen *
  • University of Southampton, Southampton, United Kingdom

The final, formatted version of the article will be published soon.

    In this paper, I explore the impact mechanisms and characteristics of carbon finance on economic sustainability. The results indicate that green total factor productivity has a spatial spillover effect and there are two mediators between carbon finance and green total factor productivity, including technological progress and the increase in technology market turnover. My findings can provide policy implications for sustainable economic development, environmental protection, and resource conservation. Different from previous academic research to study the relationship between carbon finance and green total factor productivity from the theoretical aspect, this paper studies the relationship between carbon finance and green total factor productivity from the empirical aspect and applies spatial econometric models to analyze spatial heterogeneity by using the Romer Endogenous Economic Growth Model. In addition, early scholars were more interested in green finance rather than carbon finance, and just viewed carbon finance as an indicator to construct a green finance index This paper provides suggestions for environmental protections, carbon finance development, and the development of green total factor productivity through data analysis.

    Keywords: Green total factor productivity, spatial Durbin model, Sustainable economic growth, mediating effects, spatial spillover effects. (Min

    Received: 21 Apr 2024; Accepted: 13 Aug 2024.

    Copyright: © 2024 Chen. This is an open-access article distributed under the terms of the Creative Commons Attribution License (CC BY). The use, distribution or reproduction in other forums is permitted, provided the original author(s) or licensor are credited and that the original publication in this journal is cited, in accordance with accepted academic practice. No use, distribution or reproduction is permitted which does not comply with these terms.

    * Correspondence: Yiru Chen, University of Southampton, Southampton, United Kingdom

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