Financial Development’s Impact on Environmental Quality

Key finding of the study

The key finding is that the reviewed papers present mixed evidence on the relationship between financial development and environmental quality in developed countries.

Authors

A.W.G.C.N Wijethunga, University of Southern Queensland, Toowoomba, Australia.

Sabaragamuwa University of Sri Lanka, Sri Lanka.

Mohammad Mafizur Rahman, University of Southern Queensland, Toowoomba, Australia.

Tapan Sarker, University of Southern Queensland, Ipswich, Australia

Summary

The systematic literature review investigates the impact of financial development on environmental quality in developed countries, a crucial area of study in light of climate change challenges. Utilizing databases such as Web of Science, Scopus, and Google Scholar, 20 journal articles were selected based on PRISMA criteria. The review reveals that various econometric approaches and proxy variables have been used to explore this relationship, resulting in mixed evidence. The study identifies a knowledge gap in understanding the link between financial development and environmental quality, suggesting the need for further research using different proxies.

Published in

Environmental Science and Pollution Research

Link to the article  

To read the full article, please click here