Mitigating the environmental degradation in OECD countries: What roles do natural resources and tourism play?

The study unravels the roles of natural resources (NRRN) and tourism (TOUN) in environmental sustainability (ES) in OECD countries, while controlling renewable (RERN) and nonrenewable energy (NREN) and financial development (FIDN) from 1990 to 2024. The study employed second-generation methodologies, namely CS-ARDL and CS-DL, and found no significant impact of NRRN on environmental deterioration (ED). Also, the study demonstrated the stimulating effects of using TOUN, FIDN, and NREN on ED. However, the study documented a retarding influence of RERN on ED. Thus, the study suggests that governments and policymakers across member countries should use the rents generated by NRRN to procure sustainable infrastructure and energy-efficient technologies to mitigate the deteriorating effects of NRRN on ES. Secondly, the study recommended sustainable TOUN policies that account for the environmental impacts of tourism. This can be done through ecotourism, which can provide an environmental management plan and promote sustainable changes in tourist behavior that would stimulate EQ.