Access the full text.
Sign up today, get DeepDyve free for 14 days.
S. Claessens, E. Feyen, L. Laeven (2007)
Political Connections and Preferential Access to Finance: Role of Campaign ContributionsPublic Choice & Political Economy eJournal
Kate Swanson, R. Kuhn, W. Xu (2001)
Environmental Policy Implementation in Rural China: A Case Study of Yuhang, ZhejiangEnvironmental Management, 27
Joseph Fan, T. Wong, Tianyu Zhang (2007)
Politically connected CEOs, corporate governance, and Post-IPO performance of China's newly partially privatized firmsJournal of Financial Economics, 84
W. Boeker, J. Goodstein (1991)
Organizational performance and adaptation: effects of environment and performance on changes in board composition.Academy of Management journal. Academy of Management, 34 4
D. Baron (2001)
Private Politics, Corporate Social Responsibility, and Integrated Strategy
Cui Zhang (2017)
Political connections and corporate environmental responsibility: Adopting or escaping?Energy Economics, 68
J. Pfeffer, G. R. Salancik (1978)
The External Control of Organizations: A Resource Dependence Perspective
J. Pearce, S. Zahra (1992)
BOARD COMPOSITION FROM A STRATEGIC CONTINGENCY PERSPECTIVEJournal of Management Studies, 29
L. Dong, Liang Dong, Huijuan Dong, Huijuan Dong, Tsuyoshi Fujita, Tsuyoshi Fujita, Y. Geng, M. Fujii (2015)
Cost-effectiveness analysis of China's Sulfur dioxide control strategy at the regional level: regional disparity, inequity and future challengesJournal of Cleaner Production, 90
He Lin, S. Zeng, Hanyang Ma, G. Qi, V. Tam (2014)
Can political capital drive corporate green innovation? Lessons from ChinaJournal of Cleaner Production, 64
P. Griffin, D. Lont, Estelle Sun (2012)
The Relevance to Investors of Greenhouse Gas Emission DisclosuresCapital Markets: Market Efficiency eJournal
Yue Li, Peter Clarkson, G. Richardson, Florin Vasvari (2006)
Revisiting the Relation between Environmental Performance and Environmental Disclosure: An Empirical AnalysisEconometrics eJournal
Xin Miao, Yanhong Tang, Christina Wong, Hongyu Zang (2015)
The latent causal chain of industrial water pollution in China.Environmental pollution, 196
Peter Clarkson, Yue Li, G. Richardson, Florin Vasvari (2006)
Does it Really Pay to Be Green? Determinants and Consequences of Proactive Environmental StrategiesSEIN Environmental Impacts of Business eJournal
Qingliang Tang (2017)
Institutional Influence, Transition Management, and the Demand for Carbon Auditing: The Chinese ExperiencePSN: Sustainable Development (Topic)
Douglas Diamond, Robert Verrecchia (1991)
Disclosure, Liquidity, and the Cost of CapitalJournal of Finance, 46
Gang Chen (2009)
Politics of China's Environmental Protection: Problems and Progress
Raymond Fisman, Yongxiang Wang (2015)
The Mortality Cost of Political ConnectionsPublic Choice: Analysis of Collective Decision-Making eJournal
Narjess Boubakri, J. Cosset, W. Saffar (2012)
THE IMPACT OF POLITICAL CONNECTIONS ON FIRMS’ OPERATING PERFORMANCE AND FINANCING DECISIONSJournal of Financial Research, 35
Charles Cho, Dennis Patten, R. Roberts (2006)
Corporate Political Strategy: An Examination of the Relation between Political Expenditures, Environmental Performance, and Environmental DisclosureJournal of Business Ethics, 67
Dennis Patten (2002)
The relation between environmental performance and environmental disclosure: a research noteAccounting Organizations and Society, 27
Chen Rong (2012)
A Game Analysis into the Enforcement of China’s Pollution Levy System
K. Lin, Jinsong Tan, Liming Zhao, K. Karim (2015)
In the name of charity: Political connections and strategic corporate social responsibility in a transition economyJournal of Corporate Finance, 32
J. Houston, Liangliang Jiang, Chen Lin, Yue Ma (2012)
Political Connections and the Cost of Bank LoansCorporate Finance: Capital Structure & Payout Policies eJournal
Kalim Shah (2015)
Choice and control of international joint venture partners to improve corporate environmental performanceJournal of Cleaner Production, 89
Yi-Chun Chen, Mingyi Hung, Yongxiang Wang (2017)
The Effect of Mandatory CSR Disclosure on Firm Profitability and Social Externalities: Evidence from ChinaSRPN: Water Pollution (Pollution) (Topic)
C. Chow, M. Fung, Kevin Lam, Heibatollah Sami (2012)
Investment opportunity set, political connection and business policies of private enterprises in ChinaReview of Quantitative Finance and Accounting, 38
Charles Chen, Zengquan Li, X. Su, Zheng Sun (2011)
Rent-seeking incentives, corporate political connections, and the control structure of private firms: Chinese evidenceJournal of Corporate Finance, 17
Liangliang Jiang, Chen Lin, P. Lin (2013)
The Determinants of Pollution Levels: Firm-Level Evidence from Chinese ManufacturingERN: Legal Issues & the Environment (Topic)
Deqiu Chen, Xuejiao Liu, Cong Wang (2016)
Social Trust and Bank Loan Financing: Evidence from ChinaERN: Governance & Ownership (Topic)
Atif Mian, A. Khwaja (2004)
Do Lenders Favor Politically Connected Firms? Rent Provision in an Emerging Financial MarketEmerging Markets: Finance
C. Daily, D. Dalton, Albert Cannella (2003)
Corporate Governance: Decades of Dialogue and DataAcademy of Management Review, 28
Ole‐Kristian Hope, Jingjing Wang (2018)
Management Deception, Big-Bath Accounting, and Information Asymmetry: Evidence from Linguistic AnalysisCorporate Finance: Valuation
A. P. Hutton, A. J. Marcus, H. Tehranian (2009)
Opaque Financial Reports, R‐square, and Crash Risk, 94
Amy Hutton, A. Marcus, H. Tehranian (2009)
Opaque financial reports, R2, and crash riskJournal of Financial Economics, 94
E. Goldman, Jongil So, Jörg Rocholl (2006)
Do Politically Connected Boards Affect Firm Value?Capital Markets: Market Efficiency
Ji Ma, M. Webber, B. Finlayson (2009)
On sealing a lakebed: mass media and environmental democratisation in ChinaEnvironmental Science & Policy, 12
Paul Chaney, M. Faccio, David Parsley (2010)
The Quality of Accounting Information in Politically Connected FirmsAmerican Finance Association Meetings (AFA)
C. H. Cho, D. M. Patten, R. W. Roberts (2006)
Corporate Political Strategy: An Examination of the Relation Between Political Expenditures, Environmental Performance, and Environmental Disclosure, 67
S. Zahra, J. Pearce (1989)
Boards of Directors and Corporate Financial Performance: A Review and Integrative ModelJournal of Management, 15
Allen Ferrell, Hao Liang, L. Renneboog (2014)
Socially Responsible FirmsERN: Other Organizations & Markets: Decision-Making in Organizations (Topic)
B. Baltagi (2008)
Econometric Analysis of Panel Data
Guoqian Tu, Bingxuan Lin, Feng Liu (2013)
Political connections and privatization: Evidence from ChinaJournal of Accounting and Public Policy, 32
G. Fan, X. Wang, J. Yu (2016)
NERI Index of Marketization of China's Provinces 2016 Report
Chansog Kim, Liandong Zhang (2013)
Corporate Political Connections and Tax AggressivenessPolitical Behavior: Cognition
M. Fonseka, T. Rajapakse, G. Tian (2019)
The Effects of Environmental Information Disclosure and Energy Types on the Cost of Equity: Evidence from the Energy Industry in ChinaDevelopment Economics: Agriculture
In Choi (2001)
Unit root tests for panel dataJournal of International Money and Finance, 20
M. Faccio (2010)
Differences between Politically Connected and Nonconnected Firms: A Cross‐Country AnalysisFinancial Management, 39
Sheng Yao, Hao Liang (2018)
Political connections buffer and local environmental performance deterioration: evidence from spring model and empirical data in China*Asia-Pacific Journal of Accounting & Economics, 25
Wenfeng Wu, Chongfeng Wu, Chunyang Zhou, Jun Wu (2012)
Political connections, tax benefits and firm performance: Evidence from ChinaJournal of Accounting and Public Policy, 31
Hua Wang, Nlandu Mamingi, B. Laplante, S. Dasgupta (2002)
Incomplete Enforcement of Pollution Regulation: Bargaining Power of Chinese FactoriesEnvironmental and Resource Economics, 24
Yeling Tan (2014)
Transparency without Democracy: The Unexpected Effects of China's Environmental Disclosure PolicyGovernance, 27
Jianjun Zhang, Christopher Marquis, Kunyuan Qiao (2016)
Do Political Connections Buffer Firms from or Bind Firms to the Government? A Study of Corporate Charitable Donations of Chinese FirmsOrgan. Sci., 27
A. Hillman, M. Withers, B. Collins (2009)
Resource Dependence Theory: A ReviewJournal of Management, 35
Hongbin Li, Lingsheng Meng, Qian Wang, Li-an Zhou (2008)
Political connections, financing and firm performance: Evidence from Chinese private firms ☆Journal of Development Economics, 87
Lihong Wang (2015)
Protection or expropriation: Politically connected independent directors in ChinaJournal of Banking and Finance, 55
Richard Sloan (1998)
Do Stock Prices Fully Reflect Information in Accruals and Cash Flows About Future EarningsThe Accounting Review, 71
Qu Qiang (2003)
Corporate governance and state-owned shares in China listed companiesJournal of Asian Economics, 14
This study empirically investigates the role of political connections in corporate environmental spending. It employs a sample of listed Chinese firms from polluting industries within the 2010–2013 period. Our empirical results show that having politicians as directors reduces the magnitude of discharge fees. We also find that such reductions are more pronounced in firms with a higher ratio of politically connected directors (i.e., listed Chinese polluting firms that are privately controlled). This negative relationship is robust to various model specifications (e.g., a sample of polluting firms after addressing the sample selection bias and reverse causality without an increase in new investment). Moreover, we observe that the negative relationship between political connections and discharge fees is stronger in listed Chinese polluting firms located in more polluted regions. Meanwhile, a polluting firm's incentive to engage in environmental protection, measured by firm‐level environmental awards (incidents), alleviates (exacerbates) the negative relationship. Finally, the impact of politically connected directors on discharge levies is explicitly driven by having local officials and officials from the home province as directors.
Abacus – Wiley
Published: Jun 1, 2021
Keywords: ; ; ; ;
Read and print from thousands of top scholarly journals.
Already have an account? Log in
Bookmark this article. You can see your Bookmarks on your DeepDyve Library.
To save an article, log in first, or sign up for a DeepDyve account if you don’t already have one.
Copy and paste the desired citation format or use the link below to download a file formatted for EndNote
Access the full text.
Sign up today, get DeepDyve free for 14 days.
All DeepDyve websites use cookies to improve your online experience. They were placed on your computer when you launched this website. You can change your cookie settings through your browser.