IDEAS home Printed from https://ideas.repec.org/a/eee/finlet/v67y2024ipbs1544612324009656.html

Awe culture and corporate social security contributions

Author

Listed:
  • Yun, Feng
  • Xu, Meng

Abstract

Despite their diverse backgrounds and histories, different countries and regions unanimously share the same awe culture that emphasizes family values and the sanctity of life. Using induced abortion in China's various provinces to measure the decline in awe culture, we find that a decrease in awe culture reduces corporate social security. Mechanism tests show that an increase in managers’ opportunism and risk preferences serve as underlying mechanisms.

Suggested Citation

  • Yun, Feng & Xu, Meng, 2024. "Awe culture and corporate social security contributions," Finance Research Letters, Elsevier, vol. 67(PB).
    • Handle: RePEc:eee:finlet:v:67:y:2024:i:pb:s1544612324009656
    DOI: 10.1016/j.frl.2024.105935
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S1544612324009656
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.frl.2024.105935?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to

    for a different version of it.

    References listed on IDEAS

    as
    1. Masahiko Aoki, 2013. "Endogenizing institutions and institutional changes," Chapters, in: Comparative Institutional Analysis, chapter 16, pages 267-297, Edward Elgar Publishing.
    2. Yin, Lei & Tao, Yunqing & Wang, Meng, 2022. "Trust and pay gap: Quasi-natural experimental evidence from China," Finance Research Letters, Elsevier, vol. 48(C).
    3. Kose John & Lubomir Litov & Bernard Yeung, 2008. "Corporate Governance and Risk‐Taking," Journal of Finance, American Finance Association, vol. 63(4), pages 1679-1728, August.
    4. Chao Yan & Jiaxin Wang & Zhi Wang & Kam C. Chan, 2023. "Awe culture and corporate social responsibility: Evidence from China," Accounting and Finance, Accounting and Finance Association of Australia and New Zealand, vol. 63(3), pages 3487-3517, September.
    5. Yan, Chao & Wang, Jiaxin & Wang, Zhi & Chan, Kam C., 2023. "Is reverence for life reverence for rule? Awe culture and corporate tax avoidance in China," International Review of Financial Analysis, Elsevier, vol. 90(C).
    6. Chang, Kiyoung & Noorbakhsh, Abbas, 2009. "Does national culture affect international corporate cash holdings?," Journal of Multinational Financial Management, Elsevier, vol. 19(5), pages 323-342, December.
    7. Shiva Taghavi & Michael Segalla, 2023. "Is Work an Act of Worship? The Impact of Implicit Religious Beliefs on Work Ethic in Secular vs. Religious Cultures," Journal of Business Ethics, Springer, vol. 188(3), pages 509-531, December.
    8. Tang, Xudong & Jia, Yang & Li, Rui, 2024. "Common institutional ownership types and corporate innovation: A taxonomy based on whether the investees are in the same industry," Pacific-Basin Finance Journal, Elsevier, vol. 86(C).
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Li, Tongbin & Gao, Juan, 2025. "Social security contributions, labor income share, and corporate innovation," Finance Research Letters, Elsevier, vol. 77(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Thi Huong Dao & Quoc Trung Tran & Thi Mai Nguyen & Tran Sy Nguyen, 2023. "Creditor protection, shareholder protection, and cost of debt financing around the world," Australian Journal of Management, Australian School of Business, vol. 48(1), pages 90-107, February.
    2. Tran, Quoc Trung, 2020. "Creditor protection, shareholder protection and investment efficiency: New evidence," The North American Journal of Economics and Finance, Elsevier, vol. 52(C).
    3. Sherif El-Halaby & Hosam Abdelrasheed & Khaled Hussainey, 2021. "Corporate Cash Holdings and National Culture: Evidence from the Middle East and North Africa Region," JRFM, MDPI, vol. 14(10), pages 1-22, October.
    4. Ilhan-Nas, Tulay & Okan, Tarhan & Tatoglu, Ekrem & Demirbag, Mehmet & Wood, Geoffrey & Glaister, Keith W., 2018. "Board composition, family ownership, institutional distance and the foreign equity ownership strategies of Turkish MNEs," Journal of World Business, Elsevier, vol. 53(6), pages 862-879.
    5. Robert Roßner & Dimitrios Zikos, 2018. "The Role of Homogeneity and Heterogeneity Among Resource Users on Water Governance: Lessons Learnt from an Economic Field Experiment on Irrigation in Uzbekistan," Water Economics and Policy (WEP), World Scientific Publishing Co. Pte. Ltd., vol. 4(03), pages 1-30, July.
    6. Xiaodong Teng & Kun-Shan Wu & Lopin Kuo & Bao-Guang Chang, 2023. "Investigating the double-edged sword effect of environmental, social and governance practices on corporate risk-taking in the high-tech industry," Oeconomia Copernicana, Institute of Economic Research, vol. 14(2), pages 511-549, June.
    7. Machiko Nissanke, 2015. "A Quest for Institutional Foundations Towards Inclusive Development in Sub-Saharan Africa," WIDER Working Paper Series wp-2015-049, World Institute for Development Economic Research (UNU-WIDER).
    8. Gropp, Reint E. & Köhler, Matthias, 2010. "Bank owners or bank managers: who is keen on risk? Evidence from the financial crisis," ZEW Discussion Papers 10-013, ZEW - Leibniz Centre for European Economic Research.
    9. Li, Jiaxin & Zhan, Shaoguo & Wang, Xuetian, 2025. "Can special economic zones in China enhance firm's global value chain position?," Structural Change and Economic Dynamics, Elsevier, vol. 74(C), pages 361-372.
    10. Mario COCCIA, 2020. "How does institutional change of democratization affect the origin and diffusion of technological innovation across countries?," Journal of Economic and Social Thought, EconSciences Journals, vol. 7(2), pages 60-91, June.
    11. Sulu Zhu & Pengqun Gao & Zhen Tang & Ming Tian, 2022. "The Research Venation Analysis and Future Prospects of Organizational Slack," Sustainability, MDPI, vol. 14(19), pages 1-23, October.
    12. Yuan, Na & Gao, Yihong, 2022. "Does green credit policy impact corporate cash holdings?," Pacific-Basin Finance Journal, Elsevier, vol. 75(C).
    13. Jiang, Tianjiao & Levine, Ross & Lin, Chen & Wei, Lai, 2020. "Bank deregulation and corporate risk," Journal of Corporate Finance, Elsevier, vol. 60(C).
    14. Qiaochao Yuan & Jun Bai, 2025. "Preventive regulation and corporate tax avoidance: Evidence from China," Accounting and Finance, Accounting and Finance Association of Australia and New Zealand, vol. 65(1), pages 819-856, March.
    15. Chowdhury, Md Shahedur R. & Aram, Mohsen & Javadi, Siamak & Nejadmalayeri, Ali, 2025. "Geopolitical risk and corporate capital structure," Journal of Corporate Finance, Elsevier, vol. 93(C).
    16. Wu, Meng-Wen & Shen, Chung Hua, 2019. "Effects of shadow banking on bank risks from the view of capital adequacy," International Review of Economics & Finance, Elsevier, vol. 63(C), pages 176-197.
    17. Tu, Wei & He, Juan, 2025. "How corporate business similarity affects ESG Performance?," International Review of Economics & Finance, Elsevier, vol. 103(C).
    18. Che, Yi & Li, Xuchao & Zhang, Yan & Zhao, Lin, 2024. "Labor protection and firms’ risk-taking behavior: evidence from China’s New Labor Contract Law," Journal of Asian Economics, Elsevier, vol. 91(C).
    19. Lee, Sanghoon, 2014. "The relationship between growth and profit: evidence from firm-level panel data," Structural Change and Economic Dynamics, Elsevier, vol. 28(C), pages 1-11.
    20. Hirokazu Takizawa, 2017. "Masahiko Aoki’s conception of institutions," Evolutionary and Institutional Economics Review, Springer, vol. 14(2), pages 523-540, December.

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;

    JEL classification:

    • G32 - Financial Economics - - Corporate Finance and Governance - - - Financing Policy; Financial Risk and Risk Management; Capital and Ownership Structure; Value of Firms; Goodwill
    • K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:finlet:v:67:y:2024:i:pb:s1544612324009656. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/frl .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.