Table A1

Definition of the ESG measure

VariablesPoints
Environmental inspections 
  • Firm has no issues related to environmental liability at court

1
  • Firm has no environmental liability imposed by public authorities such as penalty and failure to pay

1
  • Firm has certificates related to environmental responsibility

1
  • Air emissions from the industry: Low emission industry

1
Social responsibility inspections 
  • Firm has no issue related to the social responsibility at court

1
  • Firm has no liability on social responsibility such as penalty and failure fees

1
  • Firm has certificates related to social responsibility

1
Governance inspections 
  • Firm has no court issues on governance

1
  • Firm has no liability related governance such as authority’s penalty and failure fees

1
  • Firm has certificates related to good governance

1
Total points10
Notes:

The table presents the list of indicators for the total ESG score from Suomen Asiakastieto database. The total score was classified into three categories, environmental inspections; social responsibility inspections; and governance inspections

Source: Author’s own work

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