Is ESG Rating an Effective Tool for Addressing Mispricing of Corporate Assets?
DOI:
https://doi.org/10.6981/FEM.202512_6(12).0015Keywords:
ESG Ratings; Asset Mispricing; Multi-period Double Difference.Abstract
This study employs a multi-period difference-in-differences model to empirically examine the impact of ESG ratings on asset mispricing, utilising data from Chinese A-share listed companies between 2009 and 2023 and treating ESG ratings as an exogenous shock variable. Findings indicate that ESG ratings significantly mitigate the degree of asset mispricing within firms. The research not only provides fresh empirical evidence for understanding the relationship between ESG ratings and asset pricing.
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