A Study On The Effect Of Social Responsibility Disclosure On The Relationship Between Political Background And Bank Credit

Social responsibility disclosure has gradually become the key focus of publicattention in recent years. Researches on this topic have been expanding, varying fromthe normative study on content and quality of the disclosure to the empirical researchon the influence factors and economic consequences of the disclosure. Green creditpolicies introduced in2007and2012tied the environmental and social performanceof companies with its possibility of obtaining credit resources, which creating anincentive to disclose social responsibility reports. However, the government still playsan important role in economic resource allocation in the background of China’seconomic transformation. There are numerous studies have shown that politicalbackground is essential to the enterprise to obtain credit resources, which called theloan effect of political background. How will disclosure of social responsibilitytriggered by green credit policies affect the loan effect of political background? Dothe effects of social responsibility disclosure vary with the additive effects ofdifferent political background?Using the listed companies, which disclose social responsibility report fromA-share in the period of2009-2011as research samples, we obtain1006samples.Based on the Rent-seeking Theory, Legitimacy Theory and Social Capital Theory, thispaper empirically tests the effect that corporate social responsibility disclosure has onthe relationship between political background and bank credit. The results show thatboth government control and political connection are significantly positivelycorrelated with bank credit; the disclosure of corporate social responsibility canenhance the credit effect of government control and political connection; politicalconnection strengthens the role of corporate social responsibility disclosure in thecredit effect of government control, while government control restrains the role ofcorporate social responsibility disclosure in the credit effect of political connection.Finally, according to the empirical results and the relevant analysis, we propose thefollowing suggestions: normalizing the decision-making process of banks to supervisethe implementation of green credit policy; realizing the separation of government andenterprise to eliminate the institutional obstacle which is not conducive to the marketreform of bank credit; cultivating rational market entities and optimizing the structureof the banking sector.