Services Trade Liberalization, Digitalization, and Green Growth: Nonlinear Effects on Sustainable Competitiveness
Ling Lin, Fengzi Lu, Fengning Ge
Keywords:
Services trade liberalization, ICT service exports, green growth, BRICS, QARDL, sustainable competitiveness
Abstract:
This study examines the nonlinear relationship between services trade liberalization and green growth in BRICS economies. Because direct measures of services trade liberalization are limited for the study period, ICT service exports are used as an outcome-based proxy for international services-trade integration. Using linear and nonlinear panel quantile autoregressive distributed lag (QARDL) models, the study estimates both short-run and long-run effects. The linear results indicate that services trade supports green growth in BRICS economies, mainly in the long run and at higher quantiles. The nonlinear results show that positive shocks to services trade promote green growth, whereas negative shocks weaken it. Green investment, human capital, and R&D expenditure generally contribute positively to green growth, although their effects vary across quantiles. These findings suggest that policies supporting services trade liberalization, digital service exports, green investment, human-capital development, and R&D activity can strengthen green growth and sustainable competitiveness in BRICS economies.
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10.7441/joc.2026.SI.20
Lin, L., Lu, F., & Ge, F. (2026). Services Trade Liberalization, Digitalization, and Green Growth: Nonlinear Effects on Sustainable Competitiveness. Journal of Competitiveness, 18(SI 2), 239–256. https://doi.org/10.7441/joc.2026.SI.20
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