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Does Confucian culture reduce firms' pollution emissions

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Listed:
  • Kairui Cao
  • Weijie Jiang
  • Laiqun Jin
  • Yuanyuan Zhu

Abstract

This paper explores the influence of Confucian culture on firms' emissions. We measure Confucian culture during the Ming and Qing dynasties using the density of jinshi in that region and test the causal relationship between Confucian culture and firms' emissions using the Annual Survey of Industrial Firms (ASIF) and China's Environmental Statistics Database (CESD) from 1998 to 2013. Our research reveals that regions with a stronger Confucian cultural influence have a significant reduction in pollution emissions from their firms. Further analysis demonstrates that the government in regions with a strong Confucian cultural influence attaches more importance to environmental protection and enforces stricter environmental regulations on firms. Besides, the people demonstrate heightened environmental awareness, incorporating it into economic development, thus reducing firms' pollution emissions. In addition, Confucian culture can reduce pollution emissions by improving the total factor productivity of firms.

Suggested Citation

  • Kairui Cao & Weijie Jiang & Laiqun Jin & Yuanyuan Zhu, 2024. "Does Confucian culture reduce firms' pollution emissions," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 31(3), pages 1838-1852, May.
    • Handle: RePEc:wly:corsem:v:31:y:2024:i:3:p:1838-1852
    DOI: 10.1002/csr.2664
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    1. Xixiong Xu & Maochuan Wang, 2024. "Confucianism and employee treatment: Evidence from China," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 31(4), pages 2649-2669, July.

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