Technological innovation and green growth in the Organization for Economic Cooperation and Development economies

Green growth means improving production and demand-based emissions through innovation of green technologies for cleaner production and supply chain. This study examines the effect of technological innovation on green growth on twenty-eight (28) Organization for Economic Cooperation and Development (OECD) economies for the period 2000 to 2014 with data sourced from OECD library statistics and World Bank, World Development Indicators. The economies were sub-grouped into Oceania, America, Asia and Europe. Preliminary tests conducted were Cross-section dependence test, Im Pesaran and Shin unit root tests. Westerlund cointegration confirmed that the variables are cointegrated. Using STIRPAT and IPAT models, the study found transport related technologies has been beneficial to green growth in the Oceania sub-region. OECD Asia's technologies for production and processing of goods have been beneficial to green growth. Climate change technologies in relation to generation and transmission of energy are detrimental to green growth in the OECD economies but its impact is visible in Asia and Europe sub-panels. Environmental related budget and taxes have been found worthwhile in the pursuit of green growth from the dominant negative coefficient values. Findings led to the presentation of some important implications which could be useful for policy-makers and industries in the pursuit of green growth globally.