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Board Directorships and Carbon Emissions: Curvilinear Relationships and Moderating Roles of Other Board Characteristics

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  • Kwok Yip Cheung

    (Department of Accounting, Hong Kong University of Science and Technology, Clear Water Bay, Hong Kong)

  • Chung Yee Lai

    (Lee Shau Kee School of Business and Administration, Hong Kong Metropolitan University, Homantin, Hong Kong)

Abstract

Our research investigates the moderating roles of various board characteristics (independence, gender diversity, tenure, duality, and size) on the curvilinear relationship between board directorships and carbon emissions using a two-step generalized method of moments (GMM) system approach. We use a total of 1582 observations from 391 firms listed in the US Standard and Poor 500 (S&P 500) index collected from 2015 to 2021. Our findings provide empirical evidence in four aspects: (1) there is a U-shaped curvilinear relationship between board directorships and carbon emissions; (2) board directors should not go over two directorships because carbon emissions are likely to increase; (3) board independence, duality, and size positively moderate curvilinear relationships between board directorships and carbon emissions; and (4) board tenure and gender diversity negatively moderate curvilinear relationships. Our study contributes to expanding the existing literature related to sustainable corporate governance in the US market, and also has implications for regulatory issues, business practice, and further research.

Suggested Citation

  • Kwok Yip Cheung & Chung Yee Lai, 2022. "Board Directorships and Carbon Emissions: Curvilinear Relationships and Moderating Roles of Other Board Characteristics," JRFM, MDPI, vol. 15(12), pages 1-17, November.
    • Handle: RePEc:gam:jjrfmx:v:15:y:2022:i:12:p:550-:d:982877
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    References listed on IDEAS

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    Cited by:

    1. Rasmi Meqbel & Mohammad Alta'any & Mohammad Abweny & Habiba Al‐Shaer, 2026. "CSR Governance Committee and Carbon Emission Performance: Does Committee Composition Matter?," International Journal of Finance & Economics, John Wiley & Sons, Ltd., vol. 31(1), pages 1395-1423, January.
    2. Alfredo Grau‐Grau & Manuel Branco & Inmaculada Bel‐Oms, 2025. "Board Characteristics and Stakeholder Engagement and ESG Performance: The Relevance of European Gender Parity," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 32(3), pages 3193-3209, May.
    3. Elsayih, Jibriel & Amraaiyid, Abdelmuttalab & Bugshan, Abdullah, 2025. "Economic growth and carbon disclosure: Does board composition matter?," Research in International Business and Finance, Elsevier, vol. 73(PA).

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