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• Economic growth positively impacts ESG performance. • The positive relationship between energy prices and ESG. • The negative impact of digitalization on ESG performance. This study examines the impact of economic growth, energy prices, digitalization, and climate policy uncertainty—key macroeconomic, technological, and political factors—on ESG performance in the U.S. within a comprehensive sustainability framework to mitigate climate change. The study reveals how these variables impact different levels of ESG performance using Quantile and Quantile-on-Quantile analyses. Findings show that economic growth positively impacts ESG performance. This can be interpreted as the economy incentivizing U.S. companies to adopt and enhance their ESG practices. No significant impact of climate policy uncertainty was found. This result can be interpreted as companies mitigating the effects of climate policy uncertainty on ESG through hedging and risk management strategies. The positive relationship between energy prices and ESG indicates that higher energy costs may improve ESG performance. This can be explained by the fact that sectors facing high energy prices may invest more in sustainable practices, such as adopting renewable energy. Therefore, policymakers should encourage businesses to take individual and collective action to adopt behavior against climate change. The negative impact of digitalization on ESG performance can be explained by the rapid pace of technological change, leading business companies to prioritize profitability over ESG considerations. This result may refer to the Corporate Sustainability Theory. 1 1 Corporate Sustainability Theory emphasizes not only profitability but also the long-term environmental, social, and economic responsibilities that businesses should integrate into their models. For detailed information, refer to Kantabutra & Ketprapakorn (2020) . Therefore, businesses should integrate digitalization into climate strategies through regulatory measures and enhanced corporate reporting.
Işık et al. (Tue,) studied this question.