The Impact of Corporate Social Responsibility on Default Risk: Empirical Evidence from US Firms

M. Rizwan, A. Obaid, Dawood Ashraf
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引用次数: 6

Abstract

This paper investigates the risk mitigation effects of engagement in corporate social responsibility (CSR) activities by using data from 1,119 non-financial US firms between 2000 and 2012. We find evidence that firms with higher CSR activity scores experience lower probability-of-default. However, the credit mitigation effect of CSR is more pronounced with activities related to primary stakeholders (employee relations, product quality, diversity, and governance). Engagement in secondary (institutional) CSR activities (environmental and community related) are not significant in this relationship. We found that the dotcom crisis (2001-02) and the financial crisis (2007- 08) substantially increased default probabilities. This study provides robust evidence that engagement and disclosure of CSR-related activities reduces credit risk suggesting that both management and investors can use socially responsible behavior as a pricing factor.
企业社会责任对违约风险的影响:来自美国企业的经验证据
本文利用2000年至2012年间1,119家美国非金融企业的数据,研究了参与企业社会责任(CSR)活动的风险缓解效果。我们发现证据表明,企业社会责任活动得分较高的企业违约概率较低。然而,企业社会责任的信用缓解效应在与主要利益相关者(员工关系、产品质量、多样性和治理)相关的活动中更为明显。参与二级(机构)企业社会责任活动(环境和社区相关)在这种关系中并不重要。我们发现,网络危机(2001-02年)和金融危机(2007- 08年)大大增加了违约概率。本研究提供了强有力的证据,表明参与和披露社会责任相关活动可以降低信用风险,这表明管理层和投资者都可以将社会责任行为作为定价因素。
本文章由计算机程序翻译,如有差异,请以英文原文为准。
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