How do powerful CEOs influence corporate environmental performance?

This study investigates how powerful chief executive officers (CEOs) affect their firm’s environmental performance. Based on a sample of 5222 U.S. firm–year observations, we find that such CEOs positively influence performance and this effect is more prevalent in profitable firms. result suggests are influential creating sufficient resources to enhance firms’ They also typically well established enjoy the quiet life predisposes them prioritize projects. Our results show that, although firms polluted industries have lower performance, they able mitigate negative when or profitable. robust variety econometric models, alternative measures controlling for endogeneity issues.