Income inequality, innovation and carbon emission: Perspectives on sustainable growth

Abstract The present study aims to investigate the impact of income inequality and economic growth on carbon dioxide (CO2) emission through the moderating role of innovation in China at national and regional levels. To test the hypothesised relationships, this study took the data from 1995 to 2015 and employed panel estimation. Findings of the whole analysis show that income inequality and economic growth influence CO2 emission in China. Moreover, technological innovation moderates the proposed link. However, the findings at the regional level are mixed, thus confirming the existence of regional differences. Policy implications are also discussed