The Corporate Economic Performance of Environmentally Eligible Firms Nexus Climate Change: An Empirical Research in a Bayesian VAR Framework
Corporate economic performance and its association with carbon emissions has been the subject of extensive research within the last few decades. The present study examines the economic performance of green firms as reflected in the Financial Times Stock Exchange Environmental Opportunities Index Ser...
| Main Authors: | , , , , |
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| Format: | Article |
| Language: | English |
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MDPI AG
2022-10-01
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| Series: | Energies |
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| Online Access: | https://www.mdpi.com/1996-1073/15/19/7266 |
| _version_ | 1797479423246598144 |
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| author | Kyriaki-Argyro Tsioptsia Eleni Zafeiriou Dimitrios Niklis Nikolaos Sariannidis Constantin Zopounidis |
| author_facet | Kyriaki-Argyro Tsioptsia Eleni Zafeiriou Dimitrios Niklis Nikolaos Sariannidis Constantin Zopounidis |
| author_sort | Kyriaki-Argyro Tsioptsia |
| collection | DOAJ |
| description | Corporate economic performance and its association with carbon emissions has been the subject of extensive research within the last few decades. The present study examines the economic performance of green firms as reflected in the Financial Times Stock Exchange Environmental Opportunities Index Series (FTSE EO) and its association with carbon emissions, incorporating the role of two more indices, namely the Baltic Clean Tanker Index (BAIT) and EUR/USD exchange rate. The methodology employed is the Bayesian Vector Autoregression Model (BVAR). Our findings confirm the interlinkages among the variables studied. More specifically, based on impulse response analysis, the direction of causality is two-way. The response of carbon emissions to a shock in the other variables is negative for the case of the EUR/USD exchange rate and Baltic Clean Tanker Index (BAIT) (an index representing the conventional energy sources), while it is positive for a shock in the FTSE EO. However, the most important finding is the return to the steady state after nine or ten periods. This result is very significant since the global environmental agreements along with the global economic conditions and the energy resources may well lead to limitations in carbon emissions within a framework of a well-organized and targeted climate change mitigation strategy. |
| first_indexed | 2024-03-09T21:45:40Z |
| format | Article |
| id | doaj.art-0ac1887b36d34c838a220948d5ae4b5e |
| institution | Directory Open Access Journal |
| issn | 1996-1073 |
| language | English |
| last_indexed | 2024-03-09T21:45:40Z |
| publishDate | 2022-10-01 |
| publisher | MDPI AG |
| record_format | Article |
| series | Energies |
| spelling | doaj.art-0ac1887b36d34c838a220948d5ae4b5e2023-11-23T20:16:00ZengMDPI AGEnergies1996-10732022-10-011519726610.3390/en15197266The Corporate Economic Performance of Environmentally Eligible Firms Nexus Climate Change: An Empirical Research in a Bayesian VAR FrameworkKyriaki-Argyro Tsioptsia0Eleni Zafeiriou1Dimitrios Niklis2Nikolaos Sariannidis3Constantin Zopounidis4Department of Accounting and Finance, University of Western Macedonia, 52100 Kozani, GreeceDepartment of Agricultural Development, Democritus University of Thrace, 68200 Orestiada, GreeceDepartment of Accounting and Finance, University of Western Macedonia, 52100 Kozani, GreeceDepartment of Accounting and Finance, University of Western Macedonia, 52100 Kozani, GreeceSchool of Production Engineering and Management, Technical University of Crete, 73100 Kounoupidiana, GreeceCorporate economic performance and its association with carbon emissions has been the subject of extensive research within the last few decades. The present study examines the economic performance of green firms as reflected in the Financial Times Stock Exchange Environmental Opportunities Index Series (FTSE EO) and its association with carbon emissions, incorporating the role of two more indices, namely the Baltic Clean Tanker Index (BAIT) and EUR/USD exchange rate. The methodology employed is the Bayesian Vector Autoregression Model (BVAR). Our findings confirm the interlinkages among the variables studied. More specifically, based on impulse response analysis, the direction of causality is two-way. The response of carbon emissions to a shock in the other variables is negative for the case of the EUR/USD exchange rate and Baltic Clean Tanker Index (BAIT) (an index representing the conventional energy sources), while it is positive for a shock in the FTSE EO. However, the most important finding is the return to the steady state after nine or ten periods. This result is very significant since the global environmental agreements along with the global economic conditions and the energy resources may well lead to limitations in carbon emissions within a framework of a well-organized and targeted climate change mitigation strategy.https://www.mdpi.com/1996-1073/15/19/7266economic performancecarbon emissionsBayesian VARBAITFTSE EO |
| spellingShingle | Kyriaki-Argyro Tsioptsia Eleni Zafeiriou Dimitrios Niklis Nikolaos Sariannidis Constantin Zopounidis The Corporate Economic Performance of Environmentally Eligible Firms Nexus Climate Change: An Empirical Research in a Bayesian VAR Framework Energies economic performance carbon emissions Bayesian VAR BAIT FTSE EO |
| title | The Corporate Economic Performance of Environmentally Eligible Firms Nexus Climate Change: An Empirical Research in a Bayesian VAR Framework |
| title_full | The Corporate Economic Performance of Environmentally Eligible Firms Nexus Climate Change: An Empirical Research in a Bayesian VAR Framework |
| title_fullStr | The Corporate Economic Performance of Environmentally Eligible Firms Nexus Climate Change: An Empirical Research in a Bayesian VAR Framework |
| title_full_unstemmed | The Corporate Economic Performance of Environmentally Eligible Firms Nexus Climate Change: An Empirical Research in a Bayesian VAR Framework |
| title_short | The Corporate Economic Performance of Environmentally Eligible Firms Nexus Climate Change: An Empirical Research in a Bayesian VAR Framework |
| title_sort | corporate economic performance of environmentally eligible firms nexus climate change an empirical research in a bayesian var framework |
| topic | economic performance carbon emissions Bayesian VAR BAIT FTSE EO |
| url | https://www.mdpi.com/1996-1073/15/19/7266 |
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