CORPORATE SOCIAL RESPONSIBILITY AND INFORMATION ASYMMETRY IN 2SLS ESTIMATION OF DYNAMIC SIMULTANEOUS EQUATION MODELS
Abstrak
Several studies have shown that information imbalance is affected by the availability of relevant information in the market. Such information can be either financial information or non-financial information. It has been studied in previous literature that both financial information and non-financial information should be considered by firms. These studies generally assume that non-financial information has value relevance and serves as additional information for stakeholders and market participants. This study aims to examine the impact of CSR on information imbalance in the Financial Industry. The focus is to prove that CSR can reduce information imbalance in Indonesia. The analytical method used is Two-Stage Least Squares (2SLS) Regression Analysis to evaluate the relationship between the variables. Therefore, this study has the potential to provide important insights for the financial industry in understanding the impact of CSR practices on information dynamics in the market.
Referensi
Boiral, O. (2013). Sustainability reports as simulacra? A counter-account of A and A+ GRI reports. Accounting, Auditing & Accountability Journal. https://doi.org/10.1108/AAAJ-04-2012-00998
Cho, S. Y., Lee, C., & Pfeiffer, R. J. (2013). Corporate social responsibility performance and information asymmetry. Journal of Accounting and Public Policy, 32(1), 71–83. https://doi.org/10.1016/j.jaccpubpol.2012.10.005
Chulkov, D., & Wang, X. (2023). Corporate social responsibility and financial reporting quality: evidence from US firms. Studies in Economics and Finance. https://doi.org/10.1108/SEF-09-2022-0462
Clarke, T. (2013). The materiality of sustainability: Corporate social and environmental responsibility as instruments of strategic change? In Corporate Governance and Sustainability: Challenges for Theory and Practice. https://doi.org/10.4324/9780203390122
Cui, J., Jo, H., & Na, H. (2018a). Does Corporate Social Responsibility Affect Information Asymmetry? Journal of Business Ethics, 148(3), 549–572. https://doi.org/10.1007/s10551-015-3003-8
Cui, J., Jo, H., & Na, H. (2018b). Does Corporate Social Responsibility Affect Information Asymmetry? Journal of Business Ethics. https://doi.org/10.1007/s10551-015-3003-8
Greening, D. W., & Turban, D. B. (2000). Corporate Social Performance As a Competitive Advantage in Attracting a Quality Workforce. Business & Society. https://doi.org/10.1177/000765030003900302
Islam, M. T., Kokubu, K., & Nishitani, K. (2021). Corporate social reporting in the banking industry of Bangladesh: a test of legitimacy theory. Social Responsibility Journal. https://doi.org/10.1108/SRJ-05-2019-0185
Kalbouneh, A., Aburisheh, K., Shaheen, L., & Aldabbas, Q. (2023). The intellectual structure of sustainability accounting in the corporate environment: A literature review. In Cogent Business and Management. https://doi.org/10.1080/23311975.2023.2211370
Kim, S. S., & Lee, J. H. (2019). How does corporate social responsibility affect asymmetric information: Evidence from Korean retail industry. Journal of Distribution Science. https://doi.org/10.15722/jds.17.02.201902.5
L’Abate, V., Vitolla, F., Esposito, P., & Raimo, N. (2023). The drivers of sustainability disclosure practices in the airport industry: A legitimacy theory perspective. Corporate Social Responsibility and Environmental Management. https://doi.org/10.1002/csr.2462
Lambert, R., Leuz, C., & Verrecchia, R. E. (2007). Accounting information, disclosure, and the cost of capital. Journal of Accounting Research. https://doi.org/10.1111/j.1475-679X.2007.00238.x
Lang, M., & Lundholm, R. (1993). Cross-Sectional Determinants of Analyst Ratings of Corporate Disclosures. Journal of Accounting Research. https://doi.org/10.2307/2491273
Michelon, G., Pilonato, S., & Ricceri, F. (2015). CSR reporting practices and the quality of disclosure: An empirical analysis. Critical Perspectives on Accounting, 33, 59–78. https://doi.org/10.1016/j.cpa.2014.10.003
Wu, M. W., & Shen, C. H. (2013). Corporate social responsibility in the banking industry: Motives and financial performance. Journal of Banking and Finance. https://doi.org/10.1016/j.jbankfin.2013.04.023
Yoon, B., Kim, B., & Lee, J. H. (2019). Is earnings quality associated with corporate social responsibility? Evidence from the Korean market. Sustainability (Switzerland). https://doi.org/10.3390/su11154116
