Study on the Impact of ESG Investment on Corporate Carbon Intensity
DOI:
https://doi.org/10.54691/c7bkm975Keywords:
ESG Investment; Carbon Intensity; Asset Turnover; Operating Expenses.Abstract
With the growing emphasis on sustainable development goals globally, Environmental, Social, and Governance (ESG) investment has gradually become a key indicator for evaluating corporate sustainability. This paper selects A-share listed companies in China from 2011 to 2022 as the research sample to empirically examine the impact of ESG investment on corporate carbon intensity and its mechanisms. The study finds that ESG investment and its three components can significantly reduce corporate carbon intensity, and this conclusion remains robust even after addressing endogeneity issues. Heterogeneity analysis shows that ESG investment significantly reduces carbon intensity in non-labor-intensive enterprises. Mechanism analysis reveals that ESG investment lowers corporate carbon intensity through two channels: improving asset turnover and reducing operating expense ratios. Finally, a series of policy recommendations are proposed based on the above conclusions.
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