The Mediating Role of Human Development in the Relationship between Globalization and Environmental Quality: Evidence from Developing Countries

Abstract

This study investigates the relationship among globalization, human development, and environmental quality using data from hundreds of developing countries from 2000 to 2024. It specifically examines the moderating role of the Human Development Index (HDI) in the globalization–environment nexus. The results indicate that in developing countries globalization has deteriorating environmental effects the interaction between HDI and the KOF Globalization Index (KOFGI) has a significantly positive effect on ecological footprints. Marginal effects analysis further shows consistently positive impacts across the entire data range, with turning points occurring beyond the observed values, highlighting the reinforcing influence of human development on the environmental impacts of globalization. Results indicate that Globalization can lower ecological footprints and increase environmental quality in countries with human development. Globalization linearly improves environmental quality and human development index.