Intangible Capital and Sustainable Development: A Nonparametric Dynamic Analysis

The world has fully entered the era of the intangible economy, in which intangible capital serves as the primary driver for achieving sustainable development. This paper employs a nonparametric dynamic distribution approach to analyze the short-term transitional patterns and long-term steady-state trends of intangible capital investment across 30 developed economies, shedding light on pathways for national sustainable development from the perspective of intangible capital. Meanwhile, this paper examines the impact of industrial structure, income structure, and external-demand dependence on intangible capital investment. The results show that (1) intangible capital investment exhibits persistence, and its long-term development shows signs of unconditional convergence; (2) the tertiary industry significantly promotes the development of intangible capital, highlighting the crucial role of industrial structure upgrading in fostering intangible-driven sustainability; (3) the development of intangible capital does not necessarily substitute for human capital or reduce the labor income share; and (4) extremely high reliance on the external market may hinder the growth of intangible capital.