scholarly journals Analyst Following, Environmental Disclosure and Cost of Equity: Research Based on Industry Classification

2019 ◽  
Vol 11 (2) ◽  
pp. 300 ◽  
Author(s):  
Sheng Yao ◽  
Haotian Liang
Keyword(s):  
Least Squares ◽  
Information Disclosure ◽  
Ordinary Least Squares ◽  
Environmental Information ◽  
Mediating Effect ◽  
Cost Of Equity ◽  
Environmental Disclosure ◽  
Analyst Following ◽  
Environmental Information Disclosure ◽  
The Cost

Prior studies argue that an analyst is an important mediator between a firm and investors, and has a significant influence on the cost of equity. However, how analyst following influences the cost of equity has not been studied in depth. In the Chinese setting, where environmental information has attracted much attention, we explore the interaction among analyst following, environmental information disclosure, and cost of equity. With two linear regression methods of ordinary least squares (OLS) and two-Stage least squares (2SLS), we establish regressions to verify the relationships among them by using empirical data from 2004 to 2011 in China. The results show that analyst following can improve environmental information disclosure and lower the cost of equity. This interaction is more significant in the heavy-pollution industry and after new environmental policy is issued. We also find that environmental disclosure has a mediating effect, which determines how analyst following influences the cost of equity. The results expand the research on environmental information’s motivations and economic consequences.

scholarly journals The Impact of Environmental Information Disclosure on the Cost of Debt: Evidence From China

2021 ◽  
Author(s):  
Yongliang Yang ◽  
Jing Wen ◽  
Yi Li
Keyword(s):  
Information Disclosure ◽  
Fixed Effects ◽  
Information Source ◽  
Environmental Information ◽  
Cost Of Debt ◽  
Fixed Effects Model ◽  
Environmental Disclosure ◽  
Environmental Information Disclosure ◽  
The Cost ◽  
The Impact

Abstract With the growing attention the public has paid to environmental issues, environmental disclosure is not only a vital means for firms to convey social responsibility but also an important information source for lending institutions to assess the credit risk of firms. Based on the data of listed companies in China from 2007 - 2016, this paper applies a two-way fixed effects model to determine the impact of environmental information disclosure on the cost of debt. It reveals that environmental information disclosure could decrease companies’ cost of debt and that CEO duality and ownership concentration play vital roles in this relationship to some extent. After considering endogenous problems and testing the robustness, the conclusions still prove to be valid.

Does environmental information disclosure affect the performance of energy-intensive firms’ borrowing ability? Evidence from China

2018 ◽  
Vol 29 (5) ◽  
pp. 685-705 ◽  
Author(s):  
Haiqing Hu ◽  
Chun-Ping Chang ◽  
Minyi Dong ◽  
Wei-Na Meng ◽  
Yu Hao
Keyword(s):  
Capital Market ◽  
Information Disclosure ◽  
Cost Of Capital ◽  
Environmental Information ◽  
Influential Factors ◽  
Environmental Information Disclosure ◽  
Loan Size ◽  
The Cost ◽  
The Impact ◽  
Positive Effect

In recent years, a growing strand of China’s listed companies chose to disclose environmental information, which may potentially affect their financial performance then further influence its performance of financial supports. To quantitatively investigate the impact of enterprise’s environmental information disclosure on the ability of firms’ borrowing in China, this paper divides the measurements of information disclosure into five categories and evaluates firms’ performance in capital market through its availability of a loan and the cost of capital. In total, 97 listed energy-intensive companies in China are selected and their data covering the period of 2000–2014 are utilized for empirical study. The empirical results indicate that enterprise’s environmental information disclosure appears to have a significantly positive effect on the loan size available, while the cost of capital is less sensitive to environmental information disclosure. The empirical evidence also suggests that, among the five aspects of information disclosure measurements, the future plan and monetary information are the most influential factors of the cost of capital.

scholarly journals Quality assessment model of environmental information disclosure

2014 ◽  
pp. 76-87
Author(s):  
Inga Karlonaitė ◽  
Kristina Rudžionienė
Keyword(s):  
Quality Assessment ◽  
Social Life ◽  
Information Disclosure ◽  
Economic Value ◽  
Environmental Information ◽  
Environmental Accounting ◽  
Assessment Model ◽  
Environmental Disclosure ◽  
Environmental Information Disclosure ◽  
Increasing Demand

In last decades, environmental issues: pollution, climate change, sing of non-renewable resources, has influenced the economic value of nature and the protection of the environment has become an important goal for institutions and corporations. Increasing concern to environmental problems causes increasing demand for environmental disclosure of environmental related information. Responding to the increasing demand for such type of information, interest of environmental accounting and reporting is growing too. It is especially needed for the disclosed information to be useful and in high quality. Purpose of this work –prepare and adjust quality assessment model of environmental information disclosure. Case study indicates that this model is suitable for Baltic countries companies. Companies mostly disclose information about environmental costs, waste, pollution, programs, projects or activities in social life and regulations they follow. Lithuanian companies are most improved in this area, because 93,75% of companies discloses that information in financial reports, separate reports or internet pages.

scholarly journals The Effects of Environmental Performance and Environmental Information Disclosure on Financial Performance in Companies Listed on the Indonesia Stock Exchange

2019 ◽  
Vol 7 (11) ◽  
pp. 67-77
Author(s):  
Mikial Msy
Keyword(s):  
Financial Performance ◽  
Environmental Performance ◽  
Information Disclosure ◽  
Stock Exchange ◽  
Environmental Information ◽  
Global Reporting Initiative ◽  
Sustainability Disclosure ◽  
Environmental Information Disclosure ◽  
The Cost ◽  
Sustainability Report

The objective of this study was to examine the effects of environmental performance and environmental information disclosure on financial performance in companies listed on the Indonesia Stock Exchange. The population in this study amounted to 20 companies listed on the Indonesia Stock Exchange, issued an Annual Report and Sustainability Report and included in the Sustainability Disclosure Database of the Global Reporting Initiative (GRI). The data used in the form of secondary data obtained from annual reports and sustainability reports of companies listed on the Indonesia Stock Exchange from 2013 to 2016. The numbers of observations in this study were 80. The analysis technique used was Partial Least Square (PLS). The novelty in this study is to measure environmental performance based on outcomes, namely environmental costs incurred by the company rather than compliance with regulations. The cost of a well-managed environment will improve environmental performance because there are efficient use of resources. The results of this study indicate that eenvironmental performance has no significant effect on financial performance, environmental information disclosure has a significant effect on financial performance. Disclosure of environmental information has a negative effect on financial performance, it shows that if the disclosure of environmental information is more equipped and in accordance with the disclosure guidelines, the cost is not small so that it will reduce financial performance. Research limitation that environmental costs is difficult to obtain so that the population is limited to companies listed on the IDX that have a Sustainability Report and are included in the Sustainability Disclosure Database of the Global Reporting Initiative. Disclosure of environmental information which is the result of the implementation environmental management accounting has not been done by all companies, because it is still voluntary is not mandatory. The suggestion of the research, the Indonesian Accountants Association is expected to form separate standards for measuring and reporting environmental cost information and standardized. For other researchers who are interested in researching environmental accounting can develop other variables for a longer time and the number of companies that publish more Sustainability Reporting.

Does policy uncertainty affect corporate environmental information disclosure: evidence from China

2020 ◽  
Vol 11 (5) ◽  
pp. 903-931 ◽  
Author(s):  
Yue Pan ◽  
Qiuping Chen ◽  
Pengdong Zhang
Keyword(s):  
Information Disclosure ◽  
Negative Relationship ◽  
Environmental Information ◽  
Policy Uncertainty ◽  
Appraisal System ◽  
Environmental Disclosure ◽  
Content Type ◽  
Environmental Information Disclosure ◽  
The Government ◽  
The Relationship

Purpose The purpose of this study is to investigate whether and how policy uncertainty affect corporate environmental information disclosure. Design/methodology/approach This study conducts a difference-in-difference estimation and systematically investigates the relationship between policy uncertainty and corporate environmental information disclosure. The baseline regression results are robust to a series of robustness and endogeneity tests. Findings The authors show that firms located in cities with stronger policy uncertainty disclose less information on environmental issues. Furthermore, this negative relationship is stronger in the Midwest and in pre-industrial regions and for stated-owned firms and firms in highly polluting industries. Practical implications This study argues that policy uncertainty reduce the corporate disclosure of environmental information. Therefore, the results provide evidence on how to better emphasize the importance of green gross domestic product in the performance appraisal system for officials. Social implications This study confirms that corporate environmental disclosure is a response to public pressure. The results encourage the government and the public to increase corporate awareness of environmental protection. Originality/value This study contributes to the literature in the following ways. First, the authors provide a new perspective to study the relationship between policy uncertainty and corporate finance. Second, it contributes to the literature on corporate environmental information disclosure by linking policy uncertainty with firms’ disclosure of environmental information. Third, this study is a serious attempt to solve the problem of endogeneity between policy uncertainty and corporate environmental information disclosure.

Does More Voluntary “Green” Information Disclosure Cut Down the Cost of Equity: Heavy Pollution Industries in China

2021 ◽  
Author(s):  
Lv Wendai ◽  
Feng Jing ◽  
Li Bin
Keyword(s):  
Voluntary Disclosure ◽  
Information Disclosure ◽  
Positive Impact ◽  
Environmental Information ◽  
Cost Of Equity ◽  
Equity Financing ◽  
Positive Effects ◽  
Heavy Pollution ◽  
Csr Disclosure ◽  
The Cost

Abstract Focusing on the unique background of the coexistence of mandatory and voluntary disclosure of environmental information by domestic companies in heavy pollution industries for which is lost sight of in the existing literature. The purpose of this paper is to identify, under the premise of compulsory disclosure of environmental information in the financial report and separate environmental report, whether the further voluntary environmental information disclosure in the corporate social responsibility (CSR_E) captures the discount from investors during equity financing. Employing the sample of 4390 China’s A-share listed companies in the heavy pollution industries between 2010 and 2018, we adopt Python to conduct texture analysis and image recognition, applying the fixed effect regression model to text hypothesizes, within the robust analysis, our empirical results show that the CSR disclosure, higher quality of CSR reports, greater extent of CSR_E disclosure including accurate environmental investment information as well as the amount of graphs and texts all have the positive impact on the cost reduction of equity financing. Moreover, the degree of CSR_E disclosure in reducing cost of equity is 30 times that of CSR disclosure, which indicates that voluntary disclosure of environmental information is better to get extra discount of equity financing by satisfying favor of investors instead of keep silent on the basis of compulsory disclosure of environmental information. In addition, the charts have specific positive effects that’s not available for the text, the accurate quantitative environmental information creates more values for those enterprises disclosed. This study offers guidelines for regulatory authorities to explore the coordination effect of mandatory and voluntary disclosure policies, and achieve environmental governance and sustainable development of enterprises by improving their corporate governance.

scholarly journals The Impact of Environmental Information Disclosure Quality on Loan Scale for Enterprises in China’s Heavy Polluting Industries

2021 ◽  
Vol 261 ◽  
pp. 04018
Author(s):  
Jianfei Shen ◽  
Yidan Chen
Keyword(s):  
Information Disclosure ◽  
Environmental Information ◽  
Environmental Accounting ◽  
Bank Loans ◽  
Economic Consequences ◽  
Bank Loan ◽  
Disclosure Quality ◽  
Environmental Disclosure ◽  
Environmental Information Disclosure ◽  
The Impact

In view of the importance of environmental accounting to ecological governance, this article attempts to study the economic consequences of environmental information disclosure quality (EID) from the perspective of bank financing. We assume that good environmental information disclosure quality can help companies obtain bank loan, and then test this conjecture through empirical methods. The data of 330 listed companies in China’s heavy polluting industries were collected, and then analysed by SPSS for regression. The result shows that EID is positively related to the scale of corporate bank loan, which means the improvement of EID can bring convenience when companies need bank loans. The research clarifies the financial consequences of EID and provides some enlightenment for the improvement of corporate environmental disclosure quality.

Impact of Corporate Governance on Environmental Information Disclosure-Evidence from China

2013 ◽  
Vol 448-453 ◽  
pp. 4314-4318 ◽  
Author(s):  
Ke Peng ◽  
Tong Tong Xu ◽  
Guo Fang Ning
Keyword(s):  
Corporate Governance ◽  
Information Disclosure ◽  
Supervisory Board ◽  
Environmental Information ◽  
Independent Directors ◽  
Environmental Disclosure ◽  
Environmental Information Disclosure ◽  
The Impact ◽  
A Share

This study examined the impact of corporate governance on environmental information disclosure in the China context. Our data was based on Shanghai A-share companies for the period 2008 to 2011. We examined the effect of corporate governance from different aspects. We found that Outstanding shares rate, State-holding ratio, and CEO/Chairman duality negatively affect environmental disclosure index (EDI) significantly; Proportion of independent directors, supervisory board and board sizes positively affect EDI significantly. Our results indicate that in China, corporate governance does influence the extent of environmental information disclosure significantly.

Sign in / Sign up

Export Citation Format

Share Document