Environmental and Financial Performance
Research on the relationship between environmental and financial performance is led by Dr. Elizabeth Connors, Assistant Professor of Accounting, and Dr. Lucia Silva Gao, Assistant Professor of Finance.
They have developed a database of historical Toxic Release Inventory (TRI) data for 150 firms in six industries, and are studying the effect of the annual release of TRI data on market prices. They are also studying the relationship between pollution releases and firm level cost of capital. Professors Connors and Silva Gao will be studying the effects of RGGI on firm disclosures and the effects of changes in GHG emission disclosure on market price and risk as measured by the cost of capital.