1. Environmental performance and the role of government support: Evidence from the recent COVID-19 pandemic.
- Author
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Wellalage, Nirosha, Reddy, Krishna, and Wallace, Damien
- Abstract
• We study government support measures (GV) and firm environmental performance (EP). • Covid-19 and environmental data are obtained from Europe and Asian countries. • We analyze credit, cash transfers, fiscal exemptions, and wage subsidies. • Results show firms with higher EP are more likely to receive GV. • GV is not being subverted to support firms with low EP during the Covid-19 period. This paper investigates whether good firm environmental performance attracted government support. Furthermore, we explore the effect of different government measures such as access to new credit, cash transfers, fiscal exemptions or reductions, and wage subsidies. The COVID-19 data were collected from the COVID-19 follow-up survey, while environmental data are from the World Bank Enterprise Surveys. Our results show that 21% of the firms received wage subsidies, 10% received cash and exemption support and only 6% of firms received credit support. The results indicate that the probability of receiving government support increases if firms have a good environmental performance score. [ABSTRACT FROM AUTHOR]
- Published
- 2023
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