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Hometown CEOs and Pollution Emissions: Evidence from Chinese Listed Companies

Author

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  • Chenruo Zhang
  • Yuchen Bi
  • Zijie Jiang
  • Xiaoru Shen

Abstract

This study examines the relationship between CEO locality and corporate pollution emissions for a sample of Chinese A-share listed firms from 2008 to 2020. When the CEO’s hometown is consistent with the province of firm registration, the local CEOs are more likely to take measures conducive to environmental protection, such as increasing environmental investment to reduce corporate pollution. The results are robust to alternative model specifications, endogeneity issues, sampling criteria, and variable definitions. We identify executive social relations and long-termism as two potential channels. Overall, our findings demonstrate the important role of CEO locality in reducing corporate pollution and fulfilling social responsibilities.  JEL classification numbers: H23, M51, O17.

Suggested Citation

  • Chenruo Zhang & Yuchen Bi & Zijie Jiang & Xiaoru Shen, 2023. "Hometown CEOs and Pollution Emissions: Evidence from Chinese Listed Companies," Advances in Management and Applied Economics, SCIENPRESS Ltd, vol. 13(6), pages 1-5.
    • Handle: RePEc:spt:admaec:v:13:y:2023:i:6:f:13_6_5
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    References listed on IDEAS

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    More about this item

    Keywords

    CEO locality; Environmental governance; Informal institution.;
    All these keywords.

    JEL classification:

    • H23 - Public Economics - - Taxation, Subsidies, and Revenue - - - Externalities; Redistributive Effects; Environmental Taxes and Subsidies
    • M51 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Firm Employment Decisions; Promotions
    • O17 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Formal and Informal Sectors; Shadow Economy; Institutional Arrangements

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