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Linking corporate social responsibility to firm default risk

✍ Scribed by Sun, Wenbin; Cui, Kexiu


Book ID
121693783
Publisher
Elsevier Science
Year
2014
Tongue
English
Weight
773 KB
Volume
32
Category
Article
ISSN
0263-2373

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Utilizing a two-period durable-goods framework, we show that in uncommitted sales markets a firm may earn higher profits as it increases its level of corporate social responsibility (CSR). We find that this occurs even though CSR has no direct impact other than increasing the durable-goods firm's ma