Year: 2024
Type: article
Abstract: This study empirically examines the relationship between ESG information quality and audit quality using data from A-share listed companies in China from 2013 to 2023. The findings indicate that companies with higher ESG ratings tend to exhibit lower levels of earnings manipulation and higher audit quality. In terms of control variables, higher debt levels, corporate loss status, and a greater proportion of independent directors negatively impact audit quality. To ensure the robustness and stability of the results, this study employs fixed-effects models, lagged treatment, and instrumental variable methods (2SLS), with consistent conclusions. Therefore, strengthening ESG disclosure standards can not only enhance a company's market image and social responsibility but also indirectly improve external audit quality, promoting the healthy development of capital markets. KEYWORDS: ESG, Information Quality, Audit Quality
DOI: 10.36713/epra19430
Authors: Xie Weiyu, Wu Hongman, Lin Qijia
Institution: Zhaoqing University
Language: English
Subfield: Accounting
Domain: Social Sciences
Open Access status: diamond
OpenAlex ID: W4405351004