Effects of economic policy uncertainty, economic growth and green technologies on environmental degradation in India

Past studies have overlooked the asymmetric influence of EPU and green technologies on environmental quality in India. This gap limits our understanding of how these factors impact emissions. As a result, this study aims at addressing this gap by examining the impact of green technologies (GT), economic growth (GDP) and EPU on CO2 emissions in India using advanced techniques including wavelet quantile regression and quantile on quantile Granger causality from 1990 to 2023. The results highlight that GT and EPU consistently reduce CO2 emissions across major quantiles and all frequencies, while increases in economic development are connected to increases in CO2 emissions in this economy. In addition, the causality estimates point out that all predictors, namely GT, GDP and EPU, remarkably predict CO2 emissions across the distribution. These outcomes emphasize the importance of integrating GT into economic development and carrying out strategic economic policies to support carbon reduction and long-term environmental sustainability in India.