Jon Jungbien Moon
Business School, Korea University
Seoul, 136-701, Korea
NBER Working Papers and Publications
|July 2011||Corporate Social Responsibility for Irresponsibility|
with Matthew J. Kotchen: w17254
This paper provides an empirical investigation of the hypothesis that companies engage in corporate social responsibility (CSR) in order to offset corporate social irresponsibility (CSI). We find general support for the causal relationship: when companies do more "harm," they also do more "good." The empirical analysis is based on an extensive 15-year panel dataset that covers nearly 3,000 publicly traded companies. In addition to the overall finding that more CSI results in more CSR, we find evidence of heterogeneity among industries, where the effect is stronger in industries where CSI tends to be the subject of greater public scrutiny. We also investigate the degree of substitutability between different categories of CSR and CSI. Within the categories of community relations, environment...
Published: Kotchen, M. and J. Moon, “Corporate Social Responsibility for Irresponsibility,” The B.E. Journal of Economic Analysis & Policy (Contributions), 12:1 (2012) Article 55 . citation courtesy of