Variables

Variables Definition

EPI

Environmental investment divided by total investment

Manage

Shares held by the management divided by the total share capital of the company

SOE

Property right, set equal to 1 if state-owned, otherwise it is 0

HHI

Herfindal-Hirschmann index to calculate the degree of industry competition

Cost

The ratio of management fee, to calculate the agent cost

ROA

Net profit divided by total asset

Growth

The growth in income

Cashflow

Net operating cash flow divided by total assets

Levi

Financial leverage

Size

The logarithm of total assets

Age

The number from the company lists

Reg

Environmental regulation

First

The share hold by the first shareholder divided by total share

Director

The size of the board

Indep

The number of independent directors by the total number of the board director

Bage

The average age of the board