Sustainable Development in <scp>OECD</scp> Countries: Articulating the Role of Natural Resources and Green Technological Innovation

ABSTRACT Achieving the Sustainable Development Goals (SDGs) is crucial for ensuring human well‐being, and green innovation presents a significant solution to address this challenge and foster sustainable advancement. On this note, exploring the role of natural resource extraction and green innovation is vital to getting insights into shaping a sustainable future. This study highlights the potential role of natural resources and green innovation on sustainable development, considering the critical role of renewable energy and the economic complexity index for the 33 Organization for Economic Co‐Operation and Development (OECD) countries from 1995 to 2018. The recently developed advanced panel data econometric method, the Common Correlated Effects‐Mean Group (CCE‐MG ) method, is employed for empirical estimation. Our analysis validated a significant positive relationship between natural resources and sustainable development. However, the significance of green innovation in sustainable development is not prominently discussed across OECD countries. The findings further indicate that the economic complexity index and renewable energy contribute to achieving sustainable development in OECD countries. The results suggest that achieving SDGs requires investment in green innovation, promoting the use of clean energy, and ensuring the sustainable utilization of natural resources.