Table 8.

Political connection, climate risk and firms’ digital transformation

(1)(2)(3)(4)
PC =1PC =1PC =0PC =0
VariableDigital1Digital2Digital1Digital2
CR−0.074 (−1.52)−0.013 (−1.17)−0.136*** (−7.61)−0.041*** (−5.98)
ControlsYESYESYESYES
Year FEYESYESYESYES
Industry FEYESYESYESYES
Observations9,9299,92922,26322,263
R-squared0.4240.2630.4630.270
Notes:

This table reports the relationship between climate risk and enterprises’ digital transformation for the firms with or without political connections. Columns (1) and (2) report regression results of climate risk on enterprises’ digital transformation of political connection firms, while Columns (3) and (4) show regression results of climate risk on enterprises’ digital transformation of non-political connection firms. *, ** and *** denote significance at the 10, 5 and 1% levels, respectively

Source(s): Authors’ own work

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