THE SILENT WATCHDOG: HOW PUBLIC ENVIRONMENTAL CONCERN DETERS CORPORATE GREENWASHING OVER TIME
DOI:
https://doi.org/10.18623/rvd.v23.5457Palabras clave:
Fixed Effects Model, Greenwashing, Lagged Effect, Panel Data, Public Environmental ConcernResumen
Public environmental concern plays a silent supervisory role in corporate governance, yet its impact on greenwashing remains underexplored. This study examines the relationship between public environmental concern and corporate greenwashing using panel data of Chinese A-share listed companies from 2011 to 2023. Employing a two-way fixed effects model, we find that public environmental concern significantly inhibits corporate greenwashing, though with a time lag. This lag reflects the time firms need to perceive and respond to public pressure. The inhibitory effect is more pronounced in the eastern region, which is more developed. Heterogeneity analysis reveals that the effect is stronger in non-state-owned enterprises and heavily polluting industries. These findings suggest that public concern operates as a gradual constraining force rather than an immediate deterrent. The results have implications for improving environmental information disclosure regulations and strengthening corporate environmental legal responsibility.
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