Firm partisan positioning, polarization, and risk communication: Examining voluntary disclosures on COVID-19.

ABSTRACT:

Research summary

The COVID-19 pandemic will rank among the greatest challenges many executives will have faced and not only due to the operational challenges it posed. Upon entering the U.S. context, the disease was immediately politically polarized, with clear partisan splits forming in risk perceptions of the disease unrelated to science. We exploit this context to examine whether firms' partisan positioning affects whether and how they communicate risk to their investors on a polarized public policy issue. To do so, we examine the covariation between firms' disclosure of COVID-19 risks and the partisanship of their political giving. Our analysis of earnings call and campaign contribution data for the S&P 500 reveals a positive association between a firm's contributions to Democr

SUBMITTER: Benton RA 

PROVIDER: S-EPMC8661910 | biostudies-literature | 2022 Apr

REPOSITORIES: biostudies-literature