Do financial disclosures affect corporate sustainability practices?☆

• 成果类型: Article
• 署名作者: Jing, Chenxing; Xu, Bin; Zuo, Luo
• 署名单位: University of International Business & Economics; University of Reading; National University of Singapore
• 刊物名称: JOURNAL OF ACCOUNTING & ECONOMICS
• ISSN/ISSBN: 0165-4101; 1879-1980
• DOI: 10.1016/j.jacceco.2026.101901
• 发表日期: 2026-11
• 页码: 101901
• 关键词: Financial disclosures; sustainability practices; segment reporting; Corporate pollution; MATERIALITY; sfas no. 131; SOCIAL-RESPONSIBILITY; institutional investors; executive-compensation; earnings management; release inventory; pollution; IMPACT; INFORMATION; governance

摘要

We examine whether financial disclosures affect firm sustainability practices. Using mandatory segment reporting in the United States as the setting, we find that disclosing financial information about previously hidden segments in polluting industries reduces toxic emissions from firm plants. This effect is consistent with the notion that segment disclosures enhance monitoring of firm pollution by highlighting the financial materiality of polluting segments and drawing stakeholders' attention to their environmental impact. The effect is stronger when the newly disclosed segments are more polluting. Disclosing firms achieve this reduction by implementing better pollution prevention practices, reducing waste generation, and increasing green innovation. Overall, our study highlights the role of mandatory financial disclosures in shaping corporate practices beyond the scope of the disclosed information.