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Establishment of environmental courts and corporate green innovation

Author

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  • Zhang, Xiping
  • Fu, Aimin
  • Hu, Guang

Abstract

In this study, we empirically examine the impact of establishing environmental courts on corporate green innovation and further explore the underlying channels driving our findings. Using A-share listed firms in China's stock markets from 2008 to 2022, we show that the establishment of environmental courts is positively correlated with corporate green innovation and corporate investment efficiency can partially mediate this above relationship. Overall, our results provide clear policy implications for institutional design and firm practices on green activities.

Suggested Citation

  • Zhang, Xiping & Fu, Aimin & Hu, Guang, 2024. "Establishment of environmental courts and corporate green innovation," Finance Research Letters, Elsevier, vol. 69(PB).
    • Handle: RePEc:eee:finlet:v:69:y:2024:i:pb:s1544612324012212
    DOI: 10.1016/j.frl.2024.106192
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    References listed on IDEAS

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    Keywords

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    JEL classification:

    • K32 - Law and Economics - - Other Substantive Areas of Law - - - Energy, Environmental, Health, and Safety Law
    • L23 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Organization of Production
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth
    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy

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