ENERGY STRATEGY REVIEWS, cilt.101229, sa.50, ss.1-13, 2023 (SCI-Expanded)
Developing a sustainable economic system in the wake of unprecedented environmental challenges is the major
cry of the day. This study aims to investigate the impacts of financial development, technological innovation,
globalization, trade openness, and renewable energy consumption on the ecological footprint of 14 countries
with the highest levels of financial development. The utilized econometrics battery include slope homogeneity
tests, Westerlund cointegration, panel Augmented Mean Group (AMG), and Dumitrescu-Hurlin (2012) causality
approaches. The study period spans from 1990 to 2018. The empirical outcomes indicate that financial development
negatively affects environmental sustainability. The results further reveal that globalization technological
innovation, trade openness, and renewable energy consumption bolster environmental quality. Based on
the causality outcomes, a bidirectional causal link is witnessed between technological innovation, globalization,
renewable energy consumption, and ecological footprint; however, a unidirectional causality relationship exists
from trade openness and financial development to ecological footprint. The study findings underscore the
importance of globalization, technological innovation, trade openness, and renewable energy consumption in
fine-tuning environmental policies and improving environmental quality in these countries.