Research On The Tail Risk Impact Of Carbon Emission Enterprise Affected By China Carbon Reduction Policy

Against the backdrop of global warming,countries around the world are pursuing a "low-carbon revolution" centered around carbon reduction.Low-carbon economy has become a new trend of global development.Atmospheric pollution is the top environmental problem faced by China.In response to increasingly severe environmental problems,China adheres to the concept of sustainable development and follows the path of ecological priority and green low-carbon development.A series of policies have been introduced to reduce carbon emissions,leading to the emergence of the carbon market.Carbon trading policy,as a market-driven environmental regulation policy,is also a financial instrument.Companies,as a backbone force for carbon reduction,are the main body of the carbon trading emission rights market and important participants in the financial market.They are inevitably affected by carbon reduction policies and face uncertainties brought about by policy implementation,which may impact their businesses.Therefore,it is necessary to study the microeconomic results of the implementation of carbon reduction policies on enterprises and explore the risk changes facing the enterprises as a result,providing support and reference for their production and business decision-making.Based on the mechanism of carbon emission trading market operation and related theories including innovation theory,information asymmetry,and externality theory,relevant research hypotheses are proposed and empirically analyzed.Specifically,this paper constructs enterprise-specific tail risk indicators through the BMM model and GEV theory.By using the first batch of pilot provinces and cities operating carbon emission trading markets as exogenous shocks,a multi-period double difference model is used to test the impact and path of China’s carbon emission reduction policy on enterprise-specific tail risk.Furthermore,by dividing the subsamples and using the triple difference model,the differences in its impact between different industries and different types of enterprises are further explored.Research shows that after controlling for relevant variables and fixed effects,the pilot implementation of carbon emissions trading market policies can effectively reduce idiosyncratic tail risk for pilot enterprises.The benchmark regression has passed parallel trend tests and robustness tests.Further analysis reveals that carbon emissions trading mechanisms can affect idiosyncratic tail risk of enterprises by influencing their information environment.Enterprise information environment indicators can partially explain the impact of carbon market policies on idiosyncratic tail risk of enterprises.The carbon emissions trading mechanism can reduce idiosyncratic tail risk of enterprises by promoting green technological innovation.The impact of carbon emissions trading markets on the idiosyncratic tail risk of enterprises differs depending on differences in corporate property rights and industries.The policy of carbon emissions trading markets has a more significant effect on reducing idiosyncratic tail risk of low-carbon industries and stateowned enterprises.