Abstract
ABSTRACT This study investigates the relationship between firm-level climate risk and the occurrence of financial distress within a sample of Chinese listed companies spanning from 2007 to 2022. We find that climate risk significantly accelerates financial distress. Additionally, the empirical evidence suggests that climate risk exacerbates financial distress primarily through the mechanisms of heightened financial constraints and increased risk-taking.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.