Do corporations care? Corporate Social Responsibility and firm’s engagement
DOI:
https://doi.org/10.18381/eq.v17i1.7147Keywords:
Business cycle, Corporate Social Responsibility, institutional economicsAbstract
What are the firm’s determinants to engage in Corporate Social Respon-sibility (CSR)? Under what conditions is it likely to occur? Evidence suggests three possible mechanisms that affect a firm’s engagement in CSR: the role of growth in value added within an industry, peer effects and workers’ attitudes. Results are consis-tent with the institutional framework theory, which suggests that firms engage in cSrpractices in times of economic prosperity. Further evidence shows that peer effects are also relevant on a firm’s decision to take part in CSR. Regarding workers’ attitudes, this paper provides evidence of a weak link between labor force preferences and a firm’s decision to engage in CSR.Downloads
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