Do firms adapt to climate change? Evidence from establishment-level data

• Main Authors: LI, Frank Weikai, LIN, Yupeng, JIN, Zuben, ZHANG, Zilong
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2020
• Subjects: Climate change; employment; economic establishments; adaptation; abnormal temperatures; Corporate Finance; Finance and Financial Management
• Online Access: https://ink.library.smu.edu.sg/lkcsb_research/6560; https://ink.library.smu.edu.sg/context/lkcsb_research/article/7559/viewcontent/SSRN_id3573260.pdf
• Institution: Singapore Management University

This paper examines firms’ adaptation to long-term changes in climatic conditions. Using detailed information of establishments owned by U.S. public firms from 1990 to 2012, we show that higher abnormal temperatures over the previous five years in a county lead to a significant reduction in local em...