Original scientific paper
https://doi.org/10.1080/1331677X.2021.2015614
How public expenditure in recreational and cultural industry and socioeconomic status caused environmental sustainability in OECD countries?
Lu Shao
Hao Zhang
Muhammad Irfan
Abstract
Progression towards environmental sustainability is mainly studied
from the consumption or users’ perspective and urges the government to create social and cultural responsiveness towards ecological suitability. Also, it is pertinent that the level of compliance
towards environmental regulations is highly dependent on the
quality of socioeconomic status of the public and government
interventions in terms of annual budgetary allocations in the
respective industry or sector. Therefore, the study explores
the government’s participation through public expenditure in the
entertainment and cultural sector and socioeconomic factors in
realizing environmental sustainability in OECD countries. The data
set consists of observations from 1990 to 2019 on which the
advanced panel technique, namely; Cross Section ARDL was
applied. The results reported that both the government budgetary allocations in entertainment and cultural industry and socioeconomic status are crucial for ensuring environmental
sustainability as they assist in decreasing the level of carbon emissions. Manifestly, the magnitude of the interaction term empirically proves that when both government allocations and
socioeconomic factors are integrated, the emissions mitigating
effects turn more pronounced. These results imply that the appropriate budgetary allocations in entertainment and cultural industry promotes environmental performance channelized through
people’s welfare, awareness, and satisfaction. Along with fiscal
allocations, socioeconomic factors are imperative to maximize
positive spillovers for ecological sustainability.
Keywords
Public expenditure; recreational and cultural industry; socioeconomic status; environmental sustainability; OECD countries; CS-ARDL
Hrčak ID:
302763
URI
Publication date:
31.3.2023.
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