Does Green Bond Market Policy Improve Company Value? - Test of Policy Effect Based on Difference-in-Differences Model

Abstract

To regulate the issuance of green bonds, the State Council, the Bank of China, and the National Development and Reform Commission successively released policies. Does this series of policies work? Using quasi-natural experiment, market policy is found to increase corporate value through improving managers’ compensation. The paper concludes with suggestions and countermeasures for enhancing the value of green bond companies.