Empirical Evidence of ESG Development, Enterprise Innovation, and Carbon Emission Intensity Based on Text Analysis
DOI:
https://doi.org/10.54691/azc73b54Keywords:
Green technology innovation; Benchmark regression model; ESG; Carbon neutral; Text Analysis.Abstract
For the double carbon enterprise sustainable development ability and the relationship between carbon emissions, the first screening China a-share listed companies 2011-2018 annual report information, using text analysis to establish ESG development level index, followed by the benchmark regression model, learned that ESG development level and carbon intensity of inverted U type, and the robustness test and tool variable regression method, again using the ESG for green technology innovation of nonlinear relationship, technology innovation U-type effect will lead to carbon intensity before reduction. Finally, further heterogeneity test shows that the ESG development effect of eastern provinces is better than the central and western provinces; the ESG development in low market areas does not bring synchronous reduction of carbon intensity; the ESG development effect of large-scale enterprises is inferior to that of small-scale enterprises. It is concluded that China has exceeded the inverted U-shaped extreme value point on the average level, and enterprises and governments should continue to practice ESG to promote the realization of the "carbon neutral" goal.
Downloads
References
[1] Acemoglu D. Directed technical change[J]. Review of Economic Studies, 2002,69(4):781-810. DOI: https://doi.org/10.1111/1467-937X.00226
[2] Christensen D M , Serafeim G , Sikochi A . Why is Corporate Virtue in the Eyeof The Beholder?The Case of ESG Ratings[J]. The Accounting Review, 2022,97(1):147-175. DOI: https://doi.org/10.2308/TAR-2019-0506
[3] Gillan S L , Koch A , Starks L T . Firms and social responsibility: A review of ESG and CSR research in corporate finance[J]. Journal of Corporate Finance, 2021, 66(3):101889. DOI: https://doi.org/10.1016/j.jcorpfin.2021.101889
[4] Godfrey P C , Merrill C B , Hansen J M . The relationship between corporate social responsibility and shareholder value: an empirical test of the risk management hypothesis[J]. Strategic Management Journal, 2009, 30(4). DOI: https://doi.org/10.1002/smj.750
[5] Hering L, Poncet S. Environmental policy and exports: Evidence from Chinese cities[J]. Journal of Environmental Economics & Management, 2014, 68(2):296-318. DOI: https://doi.org/10.1016/j.jeem.2014.06.005
[6] Ho S H, Oueghlissi R, Ferktaji R E . The dynamic causality between ESG and economic growth: Evidence from panel causality analysis[J]. MPRA Paper, 2019.
[7] Jesus Munoz-Torres M, Angeles Fernandez-Izquierdo M , Rivera-Lirio J M , et al. Can environmental, social, and governance rating agencies favor business models that promote a more sustainable development?[J]. Corporate Social Responsibility and Environmental Management, 2019, 26(2):439-452. DOI: https://doi.org/10.1002/csr.1695
[8] John, Elkington. Partnerships from cannibals with forks: The triple bottom line of 21st-century business[J]. Environmental Quality Management, 1998, 8(1):37-51. DOI: https://doi.org/10.1002/tqem.3310080106
[9] Kiriu T, Nozaki M. A Text Mining Model to Evaluate Firms' ESG Activities: An Application for Japanese Firms[J]. Asia-Pacific Financial Markets, 2020, 27(4). DOI: https://doi.org/10.1007/s10690-020-09309-1
[10] Lind J T, Mehlum H. With or without U?The appropriate test for a U‐shaped relationship[J]. Oxford bulletin of economics and statistics, 2010, 72(1): 109-118. DOI: https://doi.org/10.1111/j.1468-0084.2009.00569.x
[11] Michelson, G., Wailes, N., Van Der Laan, S. et al. Ethical Investment Processes and Outcomes[J]. Journal of Business Ethics, 2004(52):1–10. DOI: https://doi.org/10.1023/B:BUSI.0000033103.12560.be
[12] Modapothala J R, Issac B. Evaluation of Corporate Environmental Reports Using Data Mining Approach[C]. International Conference on Computer Engineering & Technology. IEEE, 2009. DOI: https://doi.org/10.1109/ICCET.2009.134
[13] Muhammad, Shahbaz, and, et al. Does financial development reduce CO2 emissions in Malaysian economy? A time series analysis[J]. Economic Modelling, 2013. DOI: https://doi.org/10.1016/j.econmod.2013.06.037
[14] Shahi A M, Issac B, Modapothala J R. Analysis of supervised text classification algorithms on corporate sustainability reports. IEEE, 2011. DOI: https://doi.org/10.1109/ICCSNT.2011.6181917
Downloads
Published
Issue
Section
License
Copyright (c) 2025 Frontiers in Humanities and Social Sciences
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
How to Cite
