The Effects of Mandatory ESG Disclosure Around the World

• 成果类型: Article
• 署名作者: Krueger, Philipp; Sautner, Zacharias; Tang, Dragon Yongjun; Zhong, Rui
• 署名单位: University of Geneva; Swiss Finance Institute (SFI); University of Zurich; University of Hong Kong; University of Western Australia
• 刊物名称: JOURNAL OF ACCOUNTING RESEARCH
• ISSN/ISSBN: 0021-8456
• DOI: 10.1111/1475-679X.12548
• 发表日期: 2024
• 页码: 1795-1847
• 关键词: SOCIAL-RESPONSIBILITY; earnings management; capital-market; ECONOMICS; trust; STOCK; cost

摘要

We compile a novel data set on mandatory environmental, social, and governance (ESG) disclosure around the world to analyze the stock liquidity effects of such disclosure mandates. We document a positive effect of ESG disclosure mandates on firm-level stock liquidity. The effects are strongest if the disclosure requirements are implemented by government institutions, not on a comply-or-explain basis, and coupled with strong enforcement by informal institutions. Firms with weaker information environments benefit more from ESG disclosure mandates. Our results support the view that ESG disclosure regulation improves the information environment and has beneficial capital market effects.