CEO narcissism, corporate ESG performance and corporate value
| (1) | (2) | (3) | (4) | (5) | |
|---|---|---|---|---|---|
| ROA | ROE | Growth | NPM | EVAH | |
| CEO_nar | −0.0007 | −0.0006 | −0.0531** | −0.0016 | −0.0007 |
| (−1.00) | (−0.38) | (−2.29) | (−0.81) | (−0.81) | |
| ESG_r | −0.0067*** | −0.0116*** | 0.1304*** | −0.0131*** | −0.0077*** |
| (−10.30) | (−8.46) | (2.85) | (−8.30) | (−10.48) | |
| CEO_nar*ESG_r | −0.0025*** | −0.0059*** | −0.0142*** | −0.0049*** | −0.0027*** |
| (−3.65) | (−3.79) | (−2.82) | (−2.82) | (−3.47) | |
| controls | Yes | Yes | Yes | Yes | Yes |
| Ind FE | Yes | Yes | Yes | Yes | Yes |
| Year FE | Yes | Yes | Yes | Yes | Yes |
| Cluster by Firm | Yes | Yes | Yes | Yes | Yes |
| Observations | 10,987 | 8,920 | 8,918 | 10,986 | 10,986 |
| Adj. R2 | 0.24 | 0.09 | 0.07 | 0.27 | 0.17 |
| (1) | (2) | (3) | (4) | (5) | |
|---|---|---|---|---|---|
| ROA | ROE | Growth | NPM | EVAH | |
| −0.0007 | −0.0006 | −0.0531** | −0.0016 | −0.0007 | |
| (−1.00) | (−0.38) | (−2.29) | (−0.81) | (−0.81) | |
| −0.0067*** | −0.0116*** | 0.1304*** | −0.0131*** | −0.0077*** | |
| (−10.30) | (−8.46) | (2.85) | (−8.30) | (−10.48) | |
| controls | Yes | Yes | Yes | Yes | Yes |
| Ind FE | Yes | Yes | Yes | Yes | Yes |
| Year FE | Yes | Yes | Yes | Yes | Yes |
| Cluster by Firm | Yes | Yes | Yes | Yes | Yes |
| Observations | 10,987 | 8,920 | 8,918 | 10,986 | 10,986 |
| Adj. | 0.24 | 0.09 | 0.07 | 0.27 | 0.17 |
Note(s): Table 13 reports a test of the economic consequences that follow the effect of CEO narcissism on corporate ESG performance. ROA equals the firm’s after-tax net income divided by the average balance of total assets. ROE equals the firm’s after-tax net income divided by the average net assets. Growth equals the growth rate of end-of-period operating revenues compared to the previous period. NPM equals the ratio of the firm’s last-period after-tax net income to its sales revenues. EVAH is equal to EVA as a percentage of total assets. Other variables are defined in Table 1. All regressions are firm-level clustered robust standard errors. *, ** and *** denote significance at the 10%, 5% and 1% levels, respectively
Sharing content requires targeting cookies to be enabled. Please update your cookie preferences to use this feature.