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<p>This paper aims to empirically determine the impact of the digital transformation procedure on climate risks. Digitalization is captured by four elements, including digital connectivity <i>(DESI_CONN),</i> digital public services <i>(DESI_DPS)</i>, digital human capital <i>(DESI_HC),</i> and integration of digital technology <i>(DESI_IDT)</i>. We apply various econometric techniques to a database of 24 nations in Europe between 2017 and 2022. Linear effect analysis shows that climate risks generally rise due to digitalization. However, the non-linear analysis points out that environmental risks tend to decrease when digitalization gains a certain level. To reaffirm these findings, we also adopt alternative measurements of digitalization and climate risks. Moreover, we also examine the short-run and long-run impact of digitalization on climate issues, indicating that the influence of digital transformation on the environment is apparent in the long-run period. Our outcomes suggest crucial policy performances for climate risk mitigation.</p>

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An investigation of a nexus between digital economy and society and climate risk: fresh insights from new estimation

  • 期刊论文

  • 出版模式：

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  • 发表日期：

    2025年3月27日

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  • Le Thanh Ha

摘要

This paper aims to empirically determine the impact of the digital transformation procedure on climate risks. Digitalization is captured by four elements, including digital connectivity (DESI_CONN), digital public services (DESI_DPS), digital human capital (DESI_HC), and integration of digital technology (DESI_IDT). We apply various econometric techniques to a database of 24 nations in Europe between 2017 and 2022. Linear effect analysis shows that climate risks generally rise due to digitalization. However, the non-linear analysis points out that environmental risks tend to decrease when digitalization gains a certain level. To reaffirm these findings, we also adopt alternative measurements of digitalization and climate risks. Moreover, we also examine the short-run and long-run impact of digitalization on climate issues, indicating that the influence of digital transformation on the environment is apparent in the long-run period. Our outcomes suggest crucial policy performances for climate risk mitigation.