Regression results (dependent variable: CEDisc)
| Circular economy disclosure | ||
|---|---|---|
| Variables | Model (1) Direct effect | Model (2) Interaction effect |
| BoGenDiv | 0.0048129 *** (0.0009627) | 0.0036863 *** (0.0010389) |
| ESGContr | −0.0007388 (0.0005663) | −0.0034952 *** (0.0011157) |
| BoGenDiv × ESGContr | 0.0000965 ** (0.0000337) | |
| Profit | −0.9914934 *** (0.236681) | −0.987996 *** (0.2364232) |
| Lev | 0.0888998 (0.0184834) | 0.0885104 *** (0.0184635) |
| FirmSize | 0.0303672 (0.1129386) | 0.0198483 (0.1128738) |
| BoTen | 0.0380269 *** (0.0071799) | 0.0395477 *** (0.0071916) |
| BoMeet | 0.0018116 (0.0024718) | 0.0018628 (0.0024691) |
| BoSize | −0.0026251 (0.0062877) | −0.0034293 (0.0062871) |
| BoInd | 0.0011901 (0.0006732) | 0.0009805 (0.0006765) |
| Year | YES | YES |
| Constant | 8.594448 *** (0.4103221) | 8.649073 *** (0.4103124) |
| Sigma_u | 0.71101916 | 0.71083371 |
| Sigma_e | 0.59241627 | 0.59176306 |
| Rho | 0.59024533 | 0.59065274 |
| Circular economy disclosure | ||
|---|---|---|
| Variables | Model (1) | Model (2) |
| 0.0048129 | 0.0036863 | |
| −0.0007388 (0.0005663) | −0.0034952 | |
| 0.0000965 | ||
| −0.9914934 | −0.987996 | |
| 0.0888998 (0.0184834) | 0.0885104 | |
| 0.0303672 (0.1129386) | 0.0198483 (0.1128738) | |
| 0.0380269 | 0.0395477 | |
| 0.0018116 (0.0024718) | 0.0018628 (0.0024691) | |
| −0.0026251 (0.0062877) | −0.0034293 (0.0062871) | |
| 0.0011901 (0.0006732) | 0.0009805 (0.0006765) | |
| YES | YES | |
| 8.594448 | 8.649073 | |
| Sigma_u | 0.71101916 | 0.71083371 |
| Sigma_e | 0.59241627 | 0.59176306 |
| Rho | 0.59024533 | 0.59065274 |
Note(s): Dependent variable. CEDisc: Unweighted sum of 12 environmental items disclosed by companies, assigning value 1 when the company does present information on that environmental aspect and 0 otherwise; Independent variable. BoGenDiv: Percentage of female on the board; Moderating variable. ESGContr: 100 minus the ESG Controversy Score, that is calculated based on 23 ESG controversy topics; Interaction term. BoGenDiv * ESGContr: Two ways interaction term obtained by multiplying the BoGenDiv and ESGContr; Control variables. Profit: Return on Assets; Lev: Long-term debt divided by total assets; FirmSize: Natural logarithm of total assets; BoTen: Average number of years each board member has been on the board; BoMeet: Number of board meetings during the year; BoSize: Total number of board members at the end of the fiscal year; BoInd: Percentage of independent directors on the board. 485 companies (3,761 firm-year observations). Significance level: ***p < 0.01, **p < 0.05, *p < 0.1. Standard errors in parentheses
Source(s): Developed by authors