The present work investigates the interplay between food production, financial development, technological innovation, energy generation from renewable sources, and environmental quality in China, using yearly data spanning from 1990 to 2021. To examine the dynamics in both the short and long-term, the study employed the nonlinear asymmetric (NARDL) approach to break down the negative and positive interactions among the variables. To assess the resilience of the data series, the investigation utilized quantile regression, robust least squares, and two-stage least squares methods. Results from the asymmetric analysis revealed that factors related to food production have both positive and negative effects on environmental deterioration, mediated by positive and negative shocks. Environmental degradation was negatively impacted by financial development, as well as by both positive and negative shocks from technological innovation and energy generated from renewable sources. The findings from the quantile regression, robust least squares, and two-stage least squares analyses indicated that food production, technological innovation, and energy from renewable sources positively affected environmental deterioration. There was a negative interaction between financial development and environmental quality in China. Emerging global concerns regarding food safety and security necessitate the implementation of new conservative measures by government authorities within their financial growth strategies pertaining to food production. Additionally, the advancement of renewable energy and sustainable agricultural practices will require the integration of modern technology, robust regulatory frameworks, and extensive collaboration across sectors to effectively address pressing global challenges and foster a more environmentally sustainable and resilient society.
Rehman et al. (2025) studied this question.