Effects of Board Independence on Greenhouse Gas Emissions and Financial Consequences: Evidence from South Korea

Because of climate change issues, greenhouse gas (GHG) emissions have been emerging as an important research topic in recent years. This study examines the role corporate governance reducing GHG by focusing on board independence. We use industry fixed effect panel regression model to analyze data from 156 listed South Korean firms during period 2011 2019. Our results suggest that independence is related positively with reduction emissions. In addition, our evidence shows higher levels better financial performance, but weakens relation. findings imply independent tends focus balancing firm’s versus environmental performance. quantitative contributes understanding effects firms’ and their consequences. The implications for managers policymakers respect choosing structures reduce effectively.