Fixed-effects Regression Research Articles

How Capital Leases Affect Firm Performance: An Analysis in the Shipping Industry

This study examines the effects of capital lease arrangements on the operating performance of shipping firms as proxied by Return on Assets (ROA). The maritime industry is highly capital-intensive, often requiring substantial investments in fleet acquisition and maintenance, making ROA particularly relevant as it captures the effectiveness of firms in utilizing their leased and owned assets to generate operating income. As such, many firms rely on lease arrangements to access necessary resources while preserving liquidity and financial flexibility. Using an international sample of 209 shipping firms, we estimate fixed effects regressions to assess the relationship between lease intensity and performance of the shipping firms. The findings reveal that capital lease intensity is positively associated with operating performance, indicating that leasing can be a value-enhancing financing strategy in this sector. However, the performance benefits of capital leases diminish under IFRS 16 reporting, particularly for firms with higher leverage. These findings offer important implications for investors, regulators, and managers evaluating capital structure decisions and financial reporting strategies in capital-intensive industries post-IFRS 16 implementation.

Family firms, R&D outsourcing competitiveness and debt financing

PurposeThis paper aims to explore the role of a specific R&D strategy, that is, R&D outsourcing competitiveness, which consists of the firm’s decision to outperform their respective industry peers in terms of outsourcing R&D investments, as a determinant of capital structure. Moreover, it also considers the contingent role of family firms in the above-mentioned relationship.Design/methodology/approachWe conducted several panel data fixed-effects regressions based on a sample of 10,584 firm-year observations of privately held manufacturing firms over a 12-year period (2005–2016).FindingsThe obtained findings reveal that firms competing on the basis of R&D outsourcing are more prone to debt-based capital structures. Furthermore, being a family firm does not affect the R&D outsourcing competitiveness-indebtedness relationship. However, for firms that consider outsourcing R&D as a strategic priority, i.e. those that actually invest in external R&D, we found that family firms exert a negative moderating effect on the link between R&D outsourcing competitiveness and leverage, revealing the higher family firms’ aversion to finance R&D outsourcing competitiveness with debt.Practical implicationsA deeper understanding of the relationship between R&D outsourcing competitiveness and firm indebtedness allows external financers and investors to assess firms’ financing strategies more accurately. Moreover, this study uncovers meaningful heterogeneity within family firms: those family firms that consider R&D outsourcing as a strategic priority adopt a different capital structure than those family firms that do not. Advisors and policymakers should tailor financial support and instruments to the strategic profiles of these firms, fostering R&D outsourcing strategies while respecting family-specific constraints.Originality/valueThe main contribution of this study lies in examining how a dimension of corporate strategy, i.e. R&D outsourcing competitiveness, influences firms’ financial structure and, more specifically, their level of indebtedness in the context of privately held firms.

Effect of immuno-oncology on clinical and economic outcomes for a selection of cancers in Italy

ABSTRACT Objectives This study assesses the impact of immune-oncology (IO) drugs’ availability on cancer incidence-adjusted mortality rates from melanoma, lung, and renal cancers at population level in Italy between 2008 and 2019. Methods We conducted a retrospective study on cross-sectional time-series aggregated data collected from publicly available sources and IQVIA proprietary databases. Three fixed-effects regression models were used to estimate how IO availability affects incidence-adjusted mortality for each cancer type. Estimated deaths were compared with deaths in a scenario with no IO drugs availability. Finally, the number of averted deaths was valued using the human capital approach. Results A 1% increase in IO availability reduces incidence-adjusted mortality rates for melanoma, lung, and renal cancers by 0.125% (95% CI: 0.138–0.112; p < 0.01), 0.011% (95% CI: 0.013–0.009; p < 0.01) and 0.005% (95% CI: 0.006–0.003; p < 0.01) between the introduction of the drug in the therapeutic area and 2019. This reduction resulted in total savings of € 49.0 million, € 61.3 million, and € 10.9 million in indirect costs due to premature mortality, respectively. Conclusions IO drugs introduction in Italy between 2008 and 2019 was associated with a significant decrease in deaths from each cancer and, consequently, in savings in indirect costs related to premature mortality.

Causal Effect Analysis of the Relationship Between Relative Bird Abundance and Deforestation in Mexico

In this study, we used a causal analysis approach to assess the impact of deforestation on bird abundance in Mexico. Based on records in the eBird and GBIF databases, ten species were selected in 807 grids on the mainland. Relative abundances by species were estimated using a fixed-effects panel data regression for the period 2016–2018. Deforestation was used as a quasi-natural experiment, classifying treatment and control groups according to the distribution of relative abundances by quintiles of gross deforestation rates during the period 2001–2018. The treatment group was defined as relative abundances of birds present in grids in the last deforestation quintile (≥4% to 12%); the control group included relative abundances of birds present in grids of the first four quintiles (&lt;4%). Extended regression models were used to estimate the impacts of high deforestation rates on the relative abundance of birds, finding mixed causal effects: five showed statistically significant declines in abundance (Ruddy Ground Dove (Columbina talpacoti), Black Vulture (Coragyps atratus), Melodious Blackbird (Dives dives), Bewick’s Wren (Thryomanes bewickii), and Rufous-backed Thrush (Turdus rufopalliatus)), while one specie Yellow-winged Cacique (Cassiculus melanicterus) exhibited significant increases. These findings highlight the importance of causal effect studies in contributing to empirical evidence-based conservation decision-making.

The Sustainability Equation: Board Diversity, Environmental Stewardship, Social Responsibility, and Governance Impact on Financial Performance in Indian Markets

Sustainable development is essential for businesses globally to balance economic growth, environmental conservation, and social equity. The relationship between financial success and sustainability practices is a critical subject of discussion as an increasing number of organizations integrate these concepts into their operations. Using fixed-effects panel regression, this research investigates the link between sustainability (measured through environmental, social, and governance (ESG) factors) and firm value creation (FVC) in India's Nifty 500 companies from 2015 to 2023. ROA, ROE, Tobin's Q, and EVA are the metrics that are used to determine FVC, with ESG and its constituents serving as independent variables. Based on the findings, it can be concluded that overall sustainability metrics (ESG), environmental practices (including carbon emissions reduction, resource efficiency, and waste management initiatives), and governance mechanisms (such as board independence, executive compensation structures, and shareholder rights) have no statistically significant effect on firm value creation metrics. However, social factors (including employee welfare programs, community engagement, human rights policies, and diversity initiatives) demonstrate a favorable impact specifically on Return on Equity (ROE). Interestingly, the presence of gender diversity on corporate boards does not moderate this relationship between social performance and financial outcomes, suggesting that the benefits of social initiatives transcend board composition. This research contributes significantly to the evolving field of sustainability research in developing markets by challenging assumptions about direct financial returns from environmental and governance investments, while highlighting the potential value of social responsibility initiatives. The findings provide nuanced insights for policymakers developing corporate sustainability regulations, business executives allocating resources across sustainability dimensions, and investors seeking to understand the complex relationship between sustainable practices, gender representation, and financial performance in the Indian corporate landscape.

Navigating risk: Analyzing the effects of climate change and political connections on bank financing access for the agricultural sector

Climate change has become a major focus of discussion around the world. The impact of climate change has been felt in various sectors, including banking. This study aims to analyze the effect of climate change and political connections on bank financing and financial stability in the Indonesian banking sector. The study used a sample of banks listed on the Indonesia Stock Exchange. The data used in the study were 2,379 observations, taken from 2010 to 2023. Hypothesis testing was performed using the fixed effects regression model (FEM) with robust standard error. The results show that climate change has a significant negative impact on bank financing and indicate that banks should consider the risks associated with climate change when making financing decisions. In addition, political connections have a negative effect on bank financing, implying that banks tend to reduce financing to politically connected firms, possibly due to concerns about poorer risk management. On the other hand, product diversification showed no significant effect in either model. These findings highlight the importance of considering environmental and political factors in banks’ financing strategies to enhance financial stability amid the challenges posed by climate change and political dynamics. This study provides new insights for regulators and practitioners in formulating policies. AcknowledgmentsThe greatest appreciation is conveyed to the Directorate General of Higher Education, Research, and Technology, Ministry of Education, Culture, Research, and Technology, which has provided funding support for this research through a principal research grant with contract number 108/E5/PG.02.00.PL/2024. Thanks are also expressed to the Higher Education Service Institute (LLDIKTI) Region 6 and the Institute for Research and Community Service (LPPM) Unisnu Jepara, Indonesia, for their continuous support and facilitation during the research process.

Daya Dorong Pertumbuhan Ekonomi terhadap Pemerataan Kesejahteraan Sosial

This study aims to analyze the impact of economic growth on equity and social welfare across the five provinces of Kalimantan. The research focuses on examining the relationship between economic growth and three socio-economic indicators: income disparity, poverty level, and unemployment rate. A quantitative approach is employed using annual panel data from 2018 to 2024, analyzed through the Fixed Effect regression model. The results reveal that economic growth has a negative and significant effect on income disparity and unemployment, but no significant effect on poverty levels. These findings indicate that while economic growth contributes to reducing inequality and expanding employment opportunities, it has yet to substantially benefit impoverished populations. Therefore, more inclusive and equitable development strategies are needed to ensure that the benefits of economic growth are broadly distributed among all segments of society.

Expansion of Telehealth Availability for Mental Health Care After State-Level Policy Changes From 2019 to 2022.

Although telehealth services expanded rapidly during the COVID-19 pandemic, the association between state policies and telehealth availability has been insufficiently characterized. To investigate the associations between 4 state policies and telehealth availability at outpatient mental health treatment facilities throughout the US. This cohort study measured whether mental health treatment facilities offered telehealth services each quarter from April 2019 through September 2022. The sample comprised facilities with outpatient services that were not part of the US Department of Veterans Affairs system. Four state policies were identified from 4 different sources. Data were analyzed in January 2023. For each quarter, implementation of the following policies was indexed by state: (1) payment parity for telehealth services among private insurers; (2) authorization of audio-only telehealth services for Medicaid and Children's Health Insurance Program (CHIP) beneficiaries; (3) participation in the Interstate Medical Licensure Compact (IMLC), permitting psychiatrists to provide telehealth services across state lines; and (4) participation in the Psychology Interjurisdictional Compact (PSYPACT), permitting clinical psychologists to provide telehealth services across state lines. The primary outcome was the probability of a mental health treatment facility offering telehealth services in each quarter for each study year (2019-2022). Information on the facilities was obtained from the Mental Health and Addiction Treatment Tracking Repository based on the Substance Abuse and Mental Health Services Administration Behavioral Health Treatment Service Locator. Separate multivariable fixed-effects regression models were used to estimate the difference in the probability of offering telehealth services after vs before policy implementation, adjusting for characteristics of the facility and county in which the facility was located. A total of 12 828 mental health treatment facilities were included. Overall, 88.1% of facilities offered telehealth services in September 2022 compared with 39.4% of facilities in April 2019. All 4 policies were associated with increased odds of telehealth availability: payment parity for telehealth services (adjusted odds ratio [AOR], 1.11; 95% CI, 1.03-1.19), reimbursement for audio-only telehealth services (AOR, 1.73; 95% CI, 1.64-1.81), IMLC participation (AOR, 1.40, 95% CI, 1.24-1.59), and PSYPACT participation (AOR, 1.21, 95% CI, 1.12-1.31). Facilities that accepted Medicaid as a form of payment had lower odds of offering telehealth services (AOR, 0.75; 95% CI, 0.65-0.86) over the study period, as did facilities in counties with a higher proportion (>20%) of Black residents (AOR, 0.58; 95% CI, 0.50-0.68). Facilities in rural counties had higher odds of offering telehealth services (AOR, 1.67; 95% CI, 1.48-1.88). Results of this study suggest that 4 state policies that were introduced during the COVID-19 pandemic were associated with marked expansion of telehealth availability for mental health care at mental health treatment facilities throughout the US. Despite these policies, telehealth services were less likely to be offered in counties with a greater proportion of Black residents and in facilities that accepted Medicaid and CHIP.Appeared originally in JAMA Netw Open 2023; 6:e2318045.

Does fiscal decentralization foster renewable electricity generation? A panel data study of OECD countries

As the global community intensifies efforts to transition toward sustainable energy systems, the role of institutional and fiscal arrangements in fostering renewable energy has gained increasing attention. This study aims to assess whether fiscal decentralization contributes to the expansion of renewable electricity generation in OECD countries by analyzing panel data and identifying the direction and significance of this relationship. Utilizing a panel dataset of 34 countries spanning 2000–2023, the analysis employs a fixed-effects regression model with Driscoll-Kraay standard errors. It includes a one-year lag of fiscal variables to ensure robustness. The findings reveal a statistically significant but modest negative relationship between the share of subnational revenues in GDP and the share of renewables in electricity generation, suggesting that greater fiscal decentralization may not automatically incentivize renewable energy adoption. More specifically, the fixed-effects model corrected for heteroskedasticity and autocorrelation indicates that the coefficient for lagged subnational revenue (as a percentage of GDP) is negative and marginally significant (p ≈ 0.057), hinting at a potential delayed inhibitory effect. Additionally, country-level fixed effects demonstrate substantial heterogeneity, with nations like Iceland, Norway, and Canada showing systematically higher renewable electricity shares, regardless of fiscal structure. These results underscore the importance of complementary institutional frameworks and national coordination mechanisms to ensure that decentralization effectively supports climate policy goals. AcknowledgmentThis study was carried out within the framework of a research grant awarded by the Swiss National Science Foundation (grant no. IZURZ1_224119/1) and funded by the European Union grant “NextGenerationEU through the Recovery and Resilience Plan for Slovakia” (No. 09I03-03-V01-00130) and project VEGA – 1/0392/23 “Changes in the approach to the creation of companies’ distribution management concepts influenced by the effects of social and economic crises caused by the global pandemic and increased security risks”.

The green fog: the negative fallout of greenwashing on corporate reputation

Purpose This study aims to investigate how corporate greenwashing behavior undermines corporate reputation through the lens of information disclosure quality, with a focus on heterogeneous effects across ownership types, lifecycle stages and regional markets. Design/methodology/approach Using empirical data from listed companies on the main boards of the Shanghai and Shenzhen A-share markets, the study uses a fixed-effects regression model to analyze the nexus between greenwashing and corporate reputation. To address endogeneity concerns, instrumental variable approaches and propensity score matching methods are adopted. Mechanism analysis further examines the moderating role of information disclosure quality. Findings The results indicate that greenwashing behavior negatively influences corporate reputation. Furthermore, the mechanism test reveals that the negative impact is weakened as the quality of information disclosure improves. Additionally, the study reveals that the impact of greenwashing behavior on corporate reputation is more pronounced in state-owned enterprises, enterprises in the maturity stage and enterprises in the eastern regions. Originality/value The study challenges the linear assumption of ESG disclosure on reputation by revealing greenwashing’s “masking effect” on corporate reputation, thereby enriching the environmental, social and governance (ESG) paradox theory. Furthermore, the study integrates institutional heterogeneity and spatial economic factors into the greenwashing–reputation framework, offering contextualized insights for emerging markets. In addition, the paper offers firms practical advice on avoiding greenwashing and managing reputation. It also proposes strategies for regulators to enhance disclosure and conduct targeted supervision.

The impact of insider CEOs on corporate carbon emissions performance: the moderating role of corporate governance

Purpose This study aims to examine the relationship between insider CEOs and corporate carbon emissions performance in emerging economies. Specifically, the authors explore the mechanism of the corporate governance index as a moderating effect on the nexus. Design/methodology/approach Using the quantitative approach with fixed-effect regression analysis to examine the proposed hypothesis. This study comprises all publicly listed firms in Indonesia spanning from 2010–2023 including 1,190 firm-year observations. In addition, the authors also incorporate the causality and robustness analyses to ensure the endogeneity problems. Findings This study provides evidence that top executives promoted from within are more negatively related to carbon emissions performance. Furthermore, larger firms with more assets are also more likely to have lower carbon emissions performance. However, firms that have recently experienced a surge in profits are likely to have better carbon emissions performance. Research limitations/implications This study offers the idea that insider CEOs have the ability in two main aspects, legitimacy of the company’s vision and mission and high personal relationships, loyalty and trust, where countries with high collectivity dominance, such as Indonesia, are the main needs besides the considerations of outsider CEOs. Originality/value This paper raises an important issue in the business literature, where highly collectivist cultures are associated with trust, loyalty and strong personal relationships. In this regard, insider CEOs play an important role in maintaining this dignity to meet stakeholder expectations alongside outsider CEOs. Furthermore, the demographic features of new CEOs should be considered during their selection process.

Determinants of Dividend Payout: A Panel Data Analysis of BSE 200 Companies

This study analyses various factors that affect firms’ dividend payout decisions. It investigates the impact of six firm characteristics: price-earnings ratio, firm age, firm size, growth, firm liquidity and firm leverage on dividend payout. Panel data have been obtained from 151 BSE companies for 2015–2024. A fixed-effect regression model has been used for the study. The results reveal that leverage and growth have a positive significant impact, whereas firm age has a negative significant effect on the dividend payout decisions of the firm. This study is useful for management as well as shareholders in making strategic as well as investment decisions for the firm and also provides financial dynamics regarding the appropriate dividend policy of the firm.

Exploring the Implications of the Managerial Choice of Accounting Conservatism Strategy on the Financial Growth of Saudi Banks

Purpose: This study aims to provide a comprehensive and objective view to investigate whether the motives of strong financial managers to adopt an accounting conservatism strategy have significant effects on improving financial growth opportunities in the context of banks listed on the Saudi Stock Exchange, while knowing how this relationship is affected by litigation risks. Design/Methodology/Approach: Using data from Saudi financial databases, this study examines how litigation risk moderates the relationship between accounting conservatism and financial growth in Saudi listed banks. Basu’s (1997) model and accrual-based metrics measure conservatism, whereas assets, liabilities, and business age are used to measure financial growth. Litigation risk factors included previous lawsuits. Validity was ensured using fixed-effects regression and robustness tests. Findings: The study found that accounting conservatism has a mixed impact on financial growth, litigation risk moderates the relationship between conservatism and financial growth, and litigation risk has a positive impact on accounting conservatism. Practical Implications: Use a balanced strategy to maintain accounting conservatism, lower litigation risk while maintaining the accuracy of financial statements, take legal risk into account when evaluating the quality of financial reporting, increase transparency without impeding growth, create guidelines tailored to a particular bank, and fortify governance to reduce lawsuits while permitting long-term financial growth. Originality/Value: In order to bridge the gap between conservatism strategies and long-term financial stability in emerging economies, this study examines how managerial decisions in accounting conservatism affect the financial growth of Saudi banks, incorporating litigation risk as a moderating factor. It also contributes to financial policies, risk management, and regulations.

Asset turnover, capital structure, and financial performance: A Study on Real Estate Companies in Turkey (2020–2024)

This study explores the drivers of financial performance among Turkish Real Estate Investment Trusts (GYOs) during a period of economic volatility (2020–2024). Focusing on the roles of asset turnover, capital structure and liquidity, we analyzed a balanced panel of 23 firms using a quantitative approach, fixed-effects panel regression models, supported by comprehensive diagnostic tests and robustness checks. Our findings reveal that asset turnover significantly enhances return on assets, underscoring the importance of efficient asset utilization in the Turkish real estate sector. Liquidity exhibits a negative effect on performance in profitable firms, though this result is sensitive to outliers, suggesting cautious interpretation. Capital structure, measured by leverage, shows no consistent impact. Robustness checks, including outlier adjustments and controls for economic shocks, confirm the primary role of asset turnover. The study contributes to the literature by providing novel evidence from an emerging market, highlighting the interplay of operational efficiency and liquidity under economic turbulence. These insights inform investors and policymakers navigating Türkiye’s real estate dynamics, emphasizing strategies to optimize asset use while managing liquidity. They also suggest avenues for future research into firm-specific and macroeconomic factors.

Associations of smoking status and leisure-time physical activity with waist circumference change—10-year follow-up among twin adults

Abstract Background This cohort study investigated the associations of smoking status and leisure-time physical activity (LTPA) with weight circumference (WC) change. Methods In the FinnTwin16 cohort, 3322 twins (46% men) reported smoking status, LTPA, and WC in early adulthood and 10 years later providing information on essential covariates at baseline. The effects of smoking status and LTPA (metabolic equivalent tasks [MET]-h/week) on WC change (cm) were estimated by modeling WC value at the end of follow-up and adjusted for baseline WC in linear regression models. Within-pair associations were analyzed using linear fixed-effect regressions among 660 dizygotic and 390 monozygotic twin pairs. Results During the 10-year follow-up, 36.4% (n = 273) of baseline daily smokers quit smoking. Among those who quit daily smoking, the mean WC increase was 8.4 cm (SD 8.1). Quitters who smoked daily at baseline increased WC by about 2 cm more than continuing smokers (adjusted β 2.04; 95% CI 0.94, 3.14). This association was not robust after shared familial influences were controlled for. In general, the participants decreased LTPA during follow-up, except the quitters with the mean LTPA increase of 5.0 MET-h/week (SD 35.0). Independently of smoking status, each additional MET-h/week was associated with 0.06 cm less WC increase (adjusted β −0.06; 95% CI −0.07, −0.05). This association was replicated in the within-pair analyses. Conclusions Smoking cessation seems to be associated with WC increase, but familial confounding may be involved in this process. LTPA appears to mitigate increase in WC independently of smoking status and familial influences.

The Impact of ESG Ratings on Corporate Sustainability: Evidence from Chinese Listed Firms

As participants in sustainable development, corporations face the important and controversial issue of whether they can promote corporate sustainability through environmental, social, and governance (ESG) practices. To address this issue, we examine the relationship between ESG performance and corporate sustainability, measured by green total factor productivity (GTFP). Using a panel dataset of 17,559 firm-year observations from non-financial firms listed on the Shanghai and Shenzhen stock exchanges in China between 2011 and 2019, we employ fixed-effects regression models and two-stage least squares (2SLS) with instrumental variables to empirically test the impact of ESG ratings on GTFP, identify the underlying mechanisms, and examine potential heterogeneity across firms. The results show that higher ESG ratings are significantly associated with increased GTFP. Mediation analysis further reveals that this positive relationship operates through reduced financing constraints and enhanced green innovation. Notably, the mediating role of financing constraints is more pronounced for firms with greater reliance on external capital. Heterogeneity analysis indicates that ESG ratings exert stronger effects in eastern regions, pollution-intensive sectors, and state-owned enterprises. These findings provide empirical support for the role of ESG performance as an effective mechanism to advance corporate sustainability through ethics-driven financial access and innovation capability.

Dietary Fats Substitution and Blood Pressure Levels: A Longitudinal Study in Mexican Adults

Background: Dietary patterns impact blood pressure (BP) levels, but the potential impact of replacing specific types of fats with proteins or carbohydrates, in isocaloric models, on BP remains unclear. Objective: This study evaluates the longitudinal association between the substitution of different types of fats with proteins or carbohydrates and changes in BP in a Mexican population. Methods: We analyzed data from 1448 adults (mean age at baseline: 45 years; 73.3% women) from the Health Workers Cohort Study, followed over 13 years. Trained personnel measured systolic (SBP) and diastolic (DBP) blood pressure following standard procedures and techniques at baseline and follow-up. Macronutrient intake was assessed with a validated semi-quantitative food frequency questionnaire. Generalized Estimating Equations (GEE) for hypertension and fixed-effects linear regression for BP were conducted using isocaloric substitution models. Each estimate reflects the effect of a 3% energy substitution of specific fats for carbohydrates or proteins. Results: Substituting 3% of energy intake of polyunsaturated fat (PUFA) in place of vegetable protein (β = −2.94, 95% CI: −5.02, −0.86), animal protein (β = −2.68, 95% CI: −4.73, −0.63), low glycemic index (LGI) carbohydrates (β = −2.63, 95% CI: −4.40, −0.86), and high glycemic index (HGI) carbohydrates (β = −2.52, 95% CI: −4.31, −0.74) was associated with a significant reduction in SBP. Substituting 3% of the energy intake of PUFA in place of different types of carbohydrates was associated with lower odds of hypertension. PUFA was not associated with changes in DBP. Conclusions: Our findings suggest that exchanging PUFA for carbohydrates or proteins is associated with reduced SBP and a lower risk of hypertension, highlighting the importance of macronutrient composition independent of total energy intake and other fat types, which may have a substantial impact at the population level.

How did economic success breed anti-system politics? Communities of fate and low-road firms in the rise of the Lega Nord

ABSTRACT Why do far-right, anti-system parties thrive in economically prosperous regions? This study investigates the rise of the Lega Nord in 1990s Northern Italy, challenging the conventional view that populism is primarily driven by economic decline. Drawing on the Veneto Workers History – a dataset comprising 3.4 million employment records – alongside electoral data from 576 municipalities, the analysis combines fixed-effects regression with individual-level modelling of local councillors’ backgrounds. The findings reveal that the Lega’s success was not rooted in regional economic decline but in workplace inequalities, labour market segmentation, and the increased presence of immigrant labour, which intensified perceived status threats. Consistent with historical research, the longitudinal data show that small and medium-sized firms pursuing ‘low-road’ development strategies fostered ‘communities of fate’ – alliances between workers and employers grounded in exclusionary and nativist ideologies. Local councilors from municipalities with higher levels of workplace inequality and greater immigrant concentrations were significantly more likely to be affiliated with the Lega. This study demonstrates how firm-level economic dynamics and grassroots mobilization can convert socio-economic tensions into political instability. By linking detailed labour-market data with political outcomes, it offers fresh insights into the structural conditions that allow far-right populist movements to grow from marginal protests into mainstream political forces.

Green Goals, Financial Gains: SDG 7 “Affordable and Clean Energy” and Bank Profitability in Romania

This study investigates the relationship between disclosures related to Sustainable Development Goal 7 (SDG 7) and the financial profitability of Romanian commercial banks during the 2017–2023 period. Using an unbalanced panel dataset of 17 banks and applying fixed-effects regression models, the paper examines how transparency around energy-related sustainability practices influences various dimensions of bank profitability: recurring earning power (REP), loan yield (LY), return on assets (ROA), and return on equity (ROE). Macroeconomic energy indicators, such as the energy intensity level of primary energy (EnInt) and renewable energy consumption (REnC), are also controlled for. The findings indicate that SDG 7.1 disclosures are negatively associated with all profitability measures, except for LY, suggesting potential short-term trade-offs between sustainability transparency and financial outcomes. In contrast, SDG 7.2 disclosures positively impact REP, ROA, and ROE, underscoring the financial relevance of renewable energy financing. SDG 7.a disclosures show no significant relationship with profitability, indicating limited operational involvement in global energy cooperation. Additionally, higher energy intensity negatively affects REP and LY, supporting existing evidence that energy efficiency improves banking performance. These findings have implications for banking strategy, emphasizing the need to align sustainability disclosures with business priorities while recognizing the long-term benefits of green finance and energy efficiency.

Gender Differences in Work and Well-Being in Later Life.

This study examines the longitudinal relationship between work status and subjective well-being (SWB) among older adults in South Korea, with a focus on the roles of gender and education. Using data from the Korean Longitudinal Study of Aging (2006-2020), this study employs fixed-effects regression models to examine within-person longitudinal associations between work and SWB, stratified by gender and educational level. Findings reveal a positive association between working status and SWB for men, but not for women. Both lower- and higher-educated individuals experience a positive SWB when they are working. While women in South Korea are more likely to have lower educational attainment, this does not fully explain the gender gap in the relationship between work status and SWB. Policies should address barriers preventing women from experiencing similar SWB benefits as men, ensuring work supports, rather than strains, their well-being.