Information and communication technologies development and the resource curse

• Published in: Resources policy 2023-01, Vol.80, p.103123, Article 103123
• Main Authors: Chang, Lei, Shi, Fanglan, Taghizadeh-Hesary, Farhad, Saydaliev, Hayot Berk
• Format: Article
• Language: English
• Subjects: Chinese provinces; Information and communication technologies; Resource curse; Time-series data
• ISSN: 0301-4207; 1873-7641
• DOI: 10.1016/j.resourpol.2022.103123

Information and communication technologies (ICTs) influence economic growth, yet, innovation in natural resource development and energy demands is seldom considered. Will the development of ICTs aid in alleviating this natural resource curse? An analysis of time-series data from 30 Chinese provinces confirms this effect, and this finding is especially robust. In particular, some Chinese regions are affected by an abundance of natural resources. Computing, telephone, cellular connections, and incentives for technological collaboration result in greater energy demands and, thus, greater CO2 emissions. In short, ICT growth somewhat alleviates the resource curse. This effect is heterogeneous in terms of the level of regional financial development and the presence of a resource curse in the location. Policymakers seeking to develop long-term, nationwide e-sustainable strategies must then lower natural resource prices and pollution abatement costs through technologically driven natural resource expansion. •Information and communication technologies (ICTs) can alleviate the resource curse.•Some Chinese regions were affected by the curse of abundant natural resources.•With ICT growth, the resource curse in China is alleviating.•ICT impact on resource curve alleviation depends on regional financial development.•E-sustainable strategies or technologically driven natural resource expansion are recommended.