How does artificial intelligence affect green economic growth?-Evidence from China

As the driving force behind the new wave of technological advancement, artificial intelligence (AI) paves the way for a new era of green economic growth. This paper uses the case of China and constructs a relevant mathematical model to propose the two-way impact of AI on green total factor productivity (GTFP) and systematically analyze the impact of AI on green economic growth. The main findings of this study are that AI has a significant U-shaped effect on GTFP, which was estimated using a nonlinear dynamic panel regression model. The analysis of regional heterogeneity shows that improving AI in resource-rich areas can boost GTFP and break the resource curse. The productivity paradox arises, according to the industry heterogeneity analysis, because the current lowlevel of intelligence in resourceintensive and labor-intensive industries fails to improve GTFP. This paper also breaks down GTFP into green technological progress and green efficiency improvement effects to figure out how AI affects green economic growth.

Automated summary

This study uses a mathematical model to analyze the impact of artificial intelligence (AI) on green total factor productivity (GTFP) and green economic growth. The findings show that AI has a significant U-shaped effect on GTFP, while resource-rich areas can benefit from improving AI. However, the low level of intelligence in resource-intensive and labor-intensive industries hinders the improvement of GTFP.