We provide evidence that environmental, social, and governance (ESG) loans improve the credibility of firms' ESG disclosures. We develop our predictions using a theoretical model in which companies may withhold ESG information, or disclose it subject to misreporting costs. Higher misreporting...

This study examines whether ESG (environmental, social and governance) disclosure influences firm-specific crash risk. Our main research hypothesis postulates that further information disclosure about ESG activities and risks mitigates crash risk by virtue of lower opacity and information...

This study examines whether the breadth of ESG (environmental, social and governance) disclosure influences firm-specific crash risk. Our main research hypothesis postulates that further information disclosure about ESG activities and risks should contribute to a decline in crash risk owing to...

We train a deep-learning based Natural Language Processing (NLP) model on various corporate sustainability frameworks in order to construct a comprehensive Environmental and Social (E&S) dictionary that incorporates materiality. We analyze the earnings conference calls of U.S. public firms...

A business code of ethics is widely regarded as an important instrument to curb unethical behavior in the workplace. However, little is empirically known about the factors that determine the impact of a code on unethical behavior. Besides the existence of a code, this study proposes five...

We study how ownership structure, in particular public listing status, relates to workplace safety and productivity tradeoffs. Theory offers competing hypotheses on how listing-related frictions affect these tradeoffs. We exploit detailed asset-level data in the U.S. coal industry and find that...

We study trading behavior and the properties of prices in informationally complex markets. Our model is based on the single-period version of the linear-normal framework of Kyle (1985). We allow for essentially arbitrary correlations among the random variables involved in the model: the value of...

We study trading behavior and the properties of prices in informationally complex markets. Our model is based on the single-period version of the linear-normal framework of Kyle (1985). We allow for essentially arbitrary correlations among the random variables involved in the model: the value of...