Unveiling the Effectiveness of Agency Cost and Firms’ Size as Moderators Between CSR Disclosure and Firms’ Growth

Frontiers in Psychology

article

Aswad Akram¹  Yingkai Tang¹  Jasim Tariq² 

[1] Business School, Sichuan University;Department of Business Administration, Iqra University

关键词: corporate social responsibility;    agency cost;    firm size;    firm growth;    Pakistani companies;   

DOI  :  10.3389/fpsyg.2020.01624

学科分类：社会科学、人文和艺术（综合）

来源: Frontiers

【 摘 要 】

The excellence of corporate governance in companies lies in their ability to adopt the corporate social responsibility (CSR), which enhances their growth. This study examines the effect of agency cost, firm size, and CSR disclosure on the firms’ growth. Specifically, the study analyzed the agency cost and firms’ size as the moderators that influence the firms’ performance asymmetrically. In its approach, the study compiled data of 300 Pakistani listed companies, which have a significant concern with CSR for the period 2010–2018. Using the 2SLS and GMM instrumental panel regressions, our empirical results show that the agency cost is detrimental to the firms’ growth. In contrast, the firms’ size boosts the firms’ growth. Moreover, the growth of firms with leverage declines and the presence of independent directors improves the firms’ growth.

【 授权许可】

CC BY