Synapse
⌘+K
Synapse
PulseExploreClubsResearchersJournals
Instagram
HomeClubsExplore
December 9, 2025Journal of Environmental ManagementOpen Access

How climate change shapes firm risk-taking behavior: Evidence from investment and environmental channels

View Full Paper
Ask AI
Bookmark
Share

Authors

ÇYÇiğdem Vural YavaşSBSeda Bilyay‐Erdogan

Discussion

Loading...

Member takes

Overview

Analysis shows exposure to climate change reduces risk-taking in firms, indicating investment behavior and governance can moderate the effects.

Key Points

  • The research examines how climate change exposure influences corporate risk-taking behavior across various firms.
  • Utilized a cross-country dataset of 38,234 firm-year observations from 3,992 unique firms (2002-2022)
  • Applied entropy balancing and instrumental variable approach to analyze risk-taking behavior
  • Examined investment behavior and environmental practices as transmission mechanisms.
  • Firms exposed to climate change tend to reduce corporate risk-taking
  • Higher climate change exposure leads to lower R&D intensity and improved investment efficiency
  • Governance and information asymmetry positively moderate the negative impact of climate change on risk-taking.

Cite This Study

Yavaş et al. (2025) studied this question.

synapsesocial.com/papers/69401efa2d562116f28f998dhttps://doi.org/10.1016/j.jenvman.2025.128214
View Full Paper
Ask AI
Bookmark
Share

Also Consider

Synapse has enriched 5 closely related papers on similar clinical questions. Consider them for comparative context:

  1. 1Weathering the Storm: Unravelling the Influence of Climate Change Risk Exposure on Firms’ Human Capital Investment2024 · 5 citations
  2. 2Firm-level climate risk and accounting conservatism: International evidence2024 · 43 citations
  3. 3Climate change, corporate risk-taking, and financialization: evidence from Chinese A-share non-financial listed companies2024 · 2 citations
  4. 4Climate change and corporate culture of innovation: evidence from earnings conference calls2024 · 7 citations
  5. 5Climate Change Exposure and Accruals Management: A Quasi‐Natural Experiment2026