This paper examines the impact of environmental, social, and governance (ESG) disclosure on the cost of capital for banks as well as financial technology companies in Europe, America, and Asia from 2010 to 2024. The study investigates how sustainability affects financing conditions in the two...

This study examines the impacts of Enterprise Resource Planning (ERP) systems on financing costs from the dual perspectives of risk management and relative value creation based on corporate value maximization objectives. Data were manually collected from the listed companies in China. It is...

We used difference-in-differences research design to investigate the effect of the outbreak of extreme environmental events near firms' headquarters on the cost of debt.Using a sample of Chinese firms listed on the Shanghai and Shenzhen A-Share markets from 2004 to 2020, we find that treated...

This study investigates the impact of environmental, social, and governance (ESG) performance on the cost of capital, using a sample of 406 non-financial companies in the United Kingdom from 2014 to 2023. We examined how ESG performance and audit quality influence the cost of equity (CoE), cost...

In response to the growing trend of sustainable development in various countries, the specific advantages driving outward foreign direct investment (OFDI) by multinational corporations have undergone significant changes. The emphasis on environmental, social, and governance (ESG) factors and the...

We investigate the effect of female directors on the firm cost of equity capital.We employ several analytical techniques, including univariate analysis, Ordinary Least Square regressions, and propensity score matching methodology. Our sample consists of US public firms from 2004-2018.We find...

Using a novel worldwide dataset of 5,264 syndicated loans issued to 329 firms from 2006 to 2021, we study how climate-related litigation risk affects firm's cost of borrowing. We find robust empirical evidence that firms targeted by climate lawsuits pay significantly higher spreads on their bank...

We examine changes in the corporate tax rate across the U.S. and their implications on the pricing and quantity of loans. We find that the cost of credit decreases (increases) by approximately ten (nine) basis points in response to a one percentage tax cut (hike). The estimates are more...

The study aims to test the renewable energy productivity and energy efficiency for energy projects with the role of cost of capital in China from 2009 to 2023. The study examined the results with correlation analysis, cointegration analysis, efficiency analysis, and generalized methods of...

Are carbon emissions priced in equity markets? The literature is split with different approaches yielding conflicting results. We develop a stylized model showing that, if emissions are priced, stock returns depend on expected emissions and the product of the innovation in emissions and the...

We develop a methodology to estimate the cost of capital using credit registry microdata, and apply it to study capital allocation efficiency in the United States. Our measure incorporates the contractual interest rate, expected default probability, recovery rate, and expectations of future...

This study investigates the causal impact of stock price crash risk on the cost of equity (COE) in China's segmented A- and B-share markets with an emphasis on ownership structures and market regimes. Employing a bootstrap panel Granger causality framework, Markov-switching dynamic regression,...

This paper explores the impact of the regulatory leverage ratio (LR) on banks' demand for reserves and thus the pricing of overnight liquidity in the euro area money markets. We use daily transaction-level money market data during the period between January 2017 - February 2023 and examine the...

Taxes represent a significant expense for many companies, prompting a strong incentive to minimize tax liabilities through strategies known as tax avoidance. This research explores the impact of tax avoidance and tax risk disclosure on the cost of debt among companies listed on the Iraqi Stock...

This study uses a novel dataset from 54 countries and regions to explore how exposure to climate change regulatory shocks influences firms' debt costs. The findings reveal that such exposure generally increases the cost of debt. However, this scenario is reversed for firms that find greater...