ESG Disclosure and the Relevance for Public vs. Private Lenders
Purpose and research question: The purpose of the study is to examine the effect ESG disclosure exerts on a firm’s propensity towards public or private debt. Methodology: For the panel data, pooled OLS and fixed effects models are applied. A quadratic term is introduced to test for non-linearity between bond debt ratios and ESG disclosure scores. An instrumental variable approach and a sharp regre