Too dark to see: Does board governance moderate the relationship between carbon emissions and analyst forecast errors?

IF 0.9 Q3 BUSINESS, FINANCE
Daniel Hsiao, Qunfeng Liao, Weichieh Su
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引用次数: 0

Abstract

This study aims to demonstrate that carbon emissions may increase analyst forecast errors because poor environmental performance obscures prospects for business operations. We further examine whether strong board governance moderates such a relationship. Using a sample of S&P 500 firms from the Carbon Disclosure Project (CDP), we employ Heckman's two-stage model to examine our research questions. We find a positive association between carbon intensity and forecast errors, but strong board governance, captured by board independence, board diligence, and committee size, may mitigate this positive relationship. However, the effect is amplified for firms engaged in controversial governance practices such as CEO duality and long CEO tenure. Our study provides insight for managers by raising concerns due to high levels of carbon emissions and demonstrating that different governance characteristics may alleviate the adverse effect of carbon emissions on forecast errors.

太黑看不清:董事会治理能否调节碳排放与分析师预测误差之间的关系?
本研究旨在证明,碳排放可能会增加分析师的预测误差,因为糟糕的环境表现掩盖了企业运营的前景。我们进一步研究了强有力的董事会治理是否会调节这种关系。我们以碳信息披露项目(CDP)中的标准普尔 500 强企业为样本,采用赫克曼两阶段模型来研究我们的研究问题。我们发现碳强度与预测误差之间存在正相关,但董事会独立性、董事会勤勉程度和委员会规模所体现的强有力的董事会治理可能会缓解这种正相关关系。但是,如果公司采用 CEO 双重身份和 CEO 长期任职等有争议的治理方式,这种影响会被放大。我们的研究引起了人们对高碳排放的担忧,并证明了不同的治理特征可能会减轻碳排放对预测误差的不利影响,从而为管理者提供了启示。
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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来源期刊
CiteScore
2.30
自引率
7.10%
发文量
69
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