This research investigates the impact of climate challenges on financial markets by introducing an innovative approach to measure climate risk, specifically the aggregate climate change concern (ACCC) index. The study aims to assess and quantify the potential influence of climate change and risk-related factors on the performance and dynamics of financial markets. In this paper, concern is defined as the attention paid to the risk of climate change and the associated negative consequences.
View Article and Find Full Text PDFDespite the increasing consensus that socially responsible behavior can act as insurance against externally induced shocks, supporting evidence remains somewhat inconsistent. Our study provides a clear demonstration of the insurance-like properties of corporate social responsibility (CSR) in preserving corporate financial performance (CFP), in the event of a data (cyber) breach. Exploring a sample of 230 breached firms, we find that data breaches lead to significantly negative CFP outcomes for low CSR firms, with the dynamic being particularly pronounced in consumer-sensitive industries.
View Article and Find Full Text PDFThe relationship between pollution emissions and economic development matters greatly to sustainable growth goals. China has experienced rapid growth in pollution emissions, energy consumption, and the effects of climate change. To achieve pollution reduction and energy savings targets, China's green loan policy implements a financing-pollution emissions reduction strategy for Chinese firms.
View Article and Find Full Text PDF