Impact of Artificial Intelligence, ICT, and Technological Innovations on Informational Energy System: A Quantile Varying Effect of Using Methods of Moments Quantile Regression (MMQR)

Abstract

The growing contribution of artificial intelligence into several domains, including environmental sustainability and informational energy, has gained dramatic attention from several stakeholders. This research investigates the impact of artificial intelligence, information and communication technologies (ICTs), and technological innovations on information energy systems, with respect to environmental sustainability and economic growth of China. Data was collected during 2001-2020 with yearly observations. The study applied the Methods of Moments Quantile Regression (MMQR) to examine the quantile varying trend of information energy as determined by the stated variables. The results through the MMQR estimator show that artificial intelligence boosts information energy from the 0.25th to 0.90th Quantile, where the highest effect is observed at the 0.75th Quantile. The results also show a positive connection between ICT and information energy across all the quantiles. Moreover, technological innovations positively impact the information energy from 0.75th to 0.90th Quantile. Conversely, environmental sustainability hinders such energy production across all the quantiles. Finally, our findings confirm the productive effect of economic growth in determining an increasing trend of information energy. The study provides several policy suggestions while considering all of the given variables. Besides, the limitations are also highlighted by the end of this research to demonstrate the directions for future studies.