Studies from Nanjing University of Finance and Economics Update Current Data on Environmental Protection (Directors? and Officers? Liability Insurance, Environmental Regulation and Firms? Envi Ronmental Responsibility): Environment – Environmental Protection

2023 JUN 07 (NewsRx) -- By a News Reporter-Staff News Editor at Insurance Daily News -- New research on Environment - Environmental Protection is the subject of a report. According to news reporting from Jiangsu, People’s Republic of China, by NewsRx journalists, research stated, “This study examines the relationship among directors’ and officers’ liability insurance (D&O Insurance), envi-ronmental regulation, and firms’ environmental responsibility-taking. Using the data on firms’ green innovation achievement and environmental protection investment from China, where the information of D&O Insurance purchases was disclosed, we find robust evidence that insured firms significantly promote firms’ environmental responsibility-taking, evident in more green innovation achievement and environmental protection investment.”

Financial supporters for this research include National Natural Science Foundation of China (NSFC), Fujian Natural Science Foundation, China.

The news correspondents obtained a quote from the research from the Nanjing University of Finance and Economics, “This positive association is more pronounced for firms exposed to stronger environmental regulation. In addition, we document that the moderating effect of environmental regulation is stronger for SOEs, firms with better corporate governance, operating in heavy-polluting industries, and exposed to a stronger institutional environ-ment. Further mechanism analysis shows that public supervision is the underlying channel through which D&O Insurance affects firms’ environmental responsibility.”

According to the news reporters, the research concluded: “Overall, our findings imply that D&O Insurance, one of the important corporate governance mechanisms, motivates directors and officers to actively practice firms’ envi-ronmental responsibility, and environmental regulation exerts a positive influence over this governance effect.”

This research has been peer-reviewed.

For more information on this research see: Directors? and Officers? Liability Insurance, Environmental Regulation and Firms? Envi Ronmental Responsibility. Ecological Economics, 2023;208. Ecological Economics can be contacted at: Elsevier, Radarweg 29, 1043 Nx Amsterdam, Netherlands. (Elsevier - www.elsevier.com; Ecological Economics - http://www.journals.elsevier.com/ecological-economics/)

Our news journalists report that additional information may be obtained by contacting Wanfu Li, Nanjing University of Finance and Economics, Sch Accountancy, Wenyuan Rd, Nanjing, Jiangsu, People’s Republic of China. Additional authors for this research include Xuejiao Zhang, Shoufeng Huang and Yu Wang.

The direct object identifier (DOI) for that additional information is: https://doi.org/10.1016/j.ecolecon.2023.107796. This DOI is a link to an online electronic document that is either free or for purchase, and can be your direct source for a journal article and its citation.

(Our reports deliver fact-based news of research and discoveries from around the world.)