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This is a Panel Regression study.

September 10, 2025SustainabilityOpen Access

How Does Carbon Constraint Policy Uncertainty Affect the Corporate Green Governance? Evidence from Chinese Industrial Enterprises

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Panel data analysis shows policy uncertainty boosts corporate green governance, suggesting strategic implications for firms.

Policy uncertainty from carbon emission constraints incentivizes industrial enterprises to adopt greener governance strategies.
Analysis reveals that the uncertainty enhances regional green finance development and improves the quality of corporate green innovation.
Enterprises with stronger reputations are less affected by policy uncertainty in their green governance strategies.
The effects of carbon constraint policy uncertainty vary, being weaker for non-heavy-polluting firms in carbon trading pilot cities.

Wei et al. (2025) studied this question.

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