Date of Award
Spring 2024
Degree Name
Bachelor of Science (BS)
Advisor(s)
Eun-Hee Kim
Abstract
This study explores the effects of a firm’s carbon reduction initiatives on its actual carbon mitigation efforts by comparing carbon emissions across a two-year period between firms that implement ESG-related management incentives with companies that do not. Using a difference-in-differences analysis supported by a sensitivity test, the empirical evidence does not show that the adoption of carbon reduction initiatives by firms is associated with carbon mitigation. However, the study sheds light on the significance of sensitivity analysis on emissions testing. It is apparent that the criteria used to select comparable companies in difference-in-differences studies matters, and that it can have notable implications on the accuracy of results. For this reason, it is important that further research considers such tests in order to draw meaningful conclusions on the efficiency of carbon reduction initiatives and a causal relationship between the two variables.
Recommended Citation
Janssen, Claire, "The Effect Of Carbon Reduction Initiatives On Actual Carbon Emissions" (2024). Gabelli School of Business Honors Thesis Collection. 151.
https://research.library.fordham.edu/gabelli_thesis/151
