Environmental justice, ethical transformation: Environmental courts and corporate ESG performance

IF 2.9 3区经济学 Q1 ECONOMICS

Journal of Asian Economics Pub Date : 2025-06-25 DOI:10.1016/j.asieco.2025.101987

Huan-yu Cui, Yue-qun Cao

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引用次数: 0

Abstract

This study leverages the staggered implementation of specialized environmental courts throughout China as an exogenous shock to explore their influence on firms’ ESG performance. Analyzing a dataset of Chinese publicly listed firms from 2009 to 2022, the results demonstrate that (1) these courts enhance firms’ ESG outcomes. The key conclusions remain consistent even after addressing potential endogeneity issues and mitigating TWFE bias. (2) Low managerial ownership ratios, high analyst attention, and environmental uncertainty drive the effect. (3) The primary channel is that environmental courts enhance environmental penalties, deterring local firms and leading to stronger environmental behavior and improved access to bank loans. (4) The effect is more pronounced in polluting, environmentally information-transparent, financially constrained firms, and cities with deliberative courts, strong public participation, and efficient financial environments. Overall, this study offers new perspectives to the legal and financial discourse, reinforcing the broader role of environmental justice in shaping ethical corporate behavior.

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环境正义、伦理转型：环境法庭与企业ESG绩效

本研究利用中国各地错开实施的专门环境法院作为外生冲击，探讨其对企业ESG绩效的影响。通过对2009 - 2022年中国上市公司数据集的分析，结果表明：(1)这些法院提升了公司的ESG成果。即使在解决了潜在的内生性问题和减轻TWFE偏差之后，关键结论仍然是一致的。(2)低管理层持股比例、分析师高度关注和环境不确定性驱动了这种效应。(3)主要渠道是环境法院加强环境处罚，威慑当地企业，导致更强的环境行为和更容易获得银行贷款。(4)在高污染、环境信息透明、资金受限的企业和拥有议决法院、公众参与强、金融环境高效的城市，这种效应更为明显。总体而言，本研究为法律和金融话语提供了新的视角，加强了环境正义在塑造道德企业行为方面的更广泛作用。

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

Journal of Asian Economics ECONOMICS-

CiteScore

4.70

自引率

9.40%

发文量

期刊介绍： The Journal of Asian Economics provides a forum for publication of increasingly growing research in Asian economic studies and a unique forum for continental Asian economic studies with focus on (i) special studies in adaptive innovation paradigms in Asian economic regimes, (ii) studies relative to unique dimensions of Asian economic development paradigm, as they are investigated by researchers, (iii) comparative studies of development paradigms in other developing continents, Latin America and Africa, (iv) the emerging new pattern of comparative advantages between Asian countries and the United States and North America.