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Income inequality, fintech innovation, and CO2 emissions

Evidence from OECD countries

Bibliographic Data

ID19499666
AuthorsTarek Ghazouani (0000-0001-5879-100X, University of Jendouba, corresponding author), Mohamed Ali Hamdi (0009-0003-2678-5731, University of Jendouba), M A Al-Sayed Hamdi (University of Jendouba)
Year2025
Volume32
Issue6
Pages650-670
Publication date2025-08-18
Peer ReviewedYes
Open AccessNo
TypeARTICLE
VenueInternational Journal of Sustainable Development & World Ecology (JOURNAL)
Journal identifiersISSN: 1350-4509 • E-ISSN: 1745-2627
PublisherInforma UK Limited (PUBLISHER • GB)
DOI10.1080/13504509.2025.2528228
OpenAlexW4411995075
LanguageEN
Citations received3
References cited142

In the era of digital finance, income inequality and climate change stand as pressing global challenges. Financial technology (fintech) has emerged as a potential solution to address both the income gap and environmental protection. This study examines the linear and nonlinear impacts of income inequality and fintech on CO2 emissions, utilizing panel data from 33 OECD countries spanning from 2000 to 2020. Employing a variety of econometric techniques, including OLS models, fixed effects models, instrumental variables estimation, and panel threshold models, the research focuses on exploring the relationship between income inequality, fintech, and CO2 emissions. The findings indicate that income inequality exacerbates CO2 emissions, whereas fintech mitigates them. Additionally, fintech moderates the relationship between income inequality and CO2 emissions, suggesting that higher levels of fintech enhance the impact of income inequality on emissions. Threshold analysis reveals a nonlinear relationship between income inequality and CO2 emissions, influenced by fintech. As fintech advances in accessibility, efficiency, and integration with sustainable practices, the impact of income inequality on CO2 emissions diminishes. This study provides new insights into the dynamics between income inequality and CO2 emissions, offering valuable information for policy and strategy development in the digital finance era

Economic inequality · Economics · Inequality · Natural resource economics · Economic Growth and Development · Energy, Environment, Economic Growth · Innovation Policy and RD

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Unique citing works3
Citations per year3
Citation span2026 - 2027 (2)
Citation velocityrecent
Highly citedNo
Citation typesNeutral: 2

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