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Mandatory Disclosure and Corporate Carbon Damages

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journal contribution
posted on 2025-03-12, 19:27 authored by Patricia Breuer, Michael Greenstone, Christian Leuz
Mandatory disclosure of greenhouse gas (GHG) emissions is gaining traction as a tool to combat climate change by increasing transparency. The EU, UK, California, and the U.S. SEC are implementing mandates requiring firms to report emissions. This can reveal emission sources, help financial markets price climate risks, and pressure firms to reduce emissions. A study on corporate carbon damages finds large variations across industries and countries, highlighting the need for mandatory, verified emissions reporting.

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Copyright, Accountability in a Sustainable World Quarterly, CARE Center for Accounting Research and Education

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