Achieving common prosperity and green development through utilizing natural resources

Fossil fuels are considered essential to economic growth, social prosperity, and good human life. In this research, the authors tried to evaluate fossil fuel efficiency's impacts on common prosperity in 23 Chinese provinces from 2000 to 2021. The estimations of coefficients by the System-GMM confirmed that the efficiency of fossil fuel resources is the factor encouraging the creation and development of common prosperity in Chinese provinces. The increase in GDP and financial markets leads to the worsening of common prosperity in Chinese provinces. The price of electricity has an adverse effect (0.32%) on common prosperity; health costs also negatively affect general prosperity in Chinese provinces. As a significant policy, the Chinese government should boost sustainable power generation, develop financial diffusion, expand fossil fuels efficiency policy, and improve the performance of green financing in less developed provinces. •Efficiency of fossil fuels encourages the development of common prosperity.•GDP growth leads to the worsening of common prosperity.•The price of electricity has an adverse effect on common prosperity.