We study whether the threat of exit by institutional investors can induce firms to voluntarily disclose their environmental policies. To address concerns about reverse causality and omitted variables, we implement a fuzzy regression discontinuity design to conduct our empirical tests. The...

Purpose - There has been an increase in research examining whether and how companies disclose climate change impacts and how these disclosures influence capital structure strategies in recent years. However, prior literature has generally focused on developed countries. This paper proposes to...