The impact of economic and non-economic determinants on the natural resources commodity prices volatility in China

Recently, the economic and non-economic factors significantly influenced the natural resources commodity prices that need the attention of researchers and regulators. Therefore, this study examined the impact of economic factors (inflation and gross domestic product (GDP) growth) and non-economic factors (social contribution and human capital) on the natural resources' commodity prices in China. The secondary data from 1986 to 2019 was gathered and analyzed by E-views. The variance inflation factor (VIF) was run to examine the multicollinearity, Augmented Dickey-Fuller Test (ADF) to investigate the unit mot, and autoregressive distributed lag (ARDL) model to test the linkage among variables. The results indicated that inflation, GDP growth, social contribution, and human capital positively link with natural resources commodity prices in China. This research provides the guidelines to the policymakers while developing policies regarding economic and non-economic factors and natural resources prices.