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Does environmental information disclosure promote enterprise green technology innovation?
Kun Zhang1, Ji Li2, Weigang Ma2
1School of Economics, Zhongnan University of Economics and Law, Wuhan, China.
Environmental information disclosure (EID) boosts green technology innovation in enterprises, enhancing both the quantity and quality of innovations. This policy is crucial for sustainable development and economic transformation.
Area of Science:
- Environmental Science
- Economics
- Innovation Studies
Background:
- Accelerating green technology innovation is vital for economic transformation and sustainable development.
- Environmental information disclosure (EID) is a key component of environmental governance, offering opportunities for innovation.
- China's Pollution Source Supervision Information Disclosure Index (PITI) since 2008 serves as a natural experiment for EID.
Purpose of the Study:
- To investigate the impact of EID on enterprise green technology innovation.
- To analyze the mechanisms through which EID influences green innovation.
- To explore the heterogeneous effects of EID across different market conditions.
Main Methods:
- Utilizing a multi-period difference-in-differences (DID) model.
- Analyzing data from Chinese A-share listed companies (2003-2020).
- Employing robustness checks to address endogeneity concerns.
Main Results:
- EID positively correlates with enterprise green technology innovation, improving both quantity and quality.
- EID stimulates innovation through public participation, command-control, and market-incentive regulations.
- The impact of EID is more significant in highly marketized and resource-rich regions.
Conclusions:
- EID is an effective policy tool for fostering enterprise green technology innovation.
- Diversified environmental governance systems and flexible regulatory policies are recommended.
- EID contributes to sustainable development and economic transformation through innovation.
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