Determinants of Environmental, Social, and Governance Disclosure Performance of Publicly Traded Airports

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Özcan İ. Ç.

International Journal Of Transport Economics, vol.46, no.3, pp.77-92, 2019 (SSCI)

  • Publication Type: Article / Article
  • Volume: 46 Issue: 3
  • Publication Date: 2019
  • Journal Name: International Journal Of Transport Economics
  • Journal Indexes: Social Sciences Citation Index (SSCI), Scopus
  • Page Numbers: pp.77-92
  • Ankara Yıldırım Beyazıt University Affiliated: Yes

Abstract

This study explores the determinants of the Environmental, Social, and Governance (ESG) Disclosure Performance of the publicly traded airport companies. We use regular ordinary least squares (OLS), random effects (RE), and generalized least squares (GLS) estimations to analyze which factors affect the ESG disclosure performance of the airport companies. Based on a dataset over the 2007-2017 period, our findings suggest that larger board and company size, higher percentage of independent directors, profitability, financial leverage, and tangibility, and operating in a common law country tend to increase the ESG disclosure scores of the publicly traded airport companies. This paper is the first study focusing on the ESG disclosure performance of the airports. More importantly, our study differs from the previous studies on the transport industry in employing an aggregate measure for the environmental, social, and governance rather than concentrating on only an individual dimension of ESG.