Beschreibung:
The effects of climate policy uncertainty (CPU) on firms' green innovation have not reached a consensus result. Motivated by the research gap, this study explores the moderating mechanism of R&D investment on the linkage between CPU and green innovation and tests the heterogeneity according to heavy pollution and cleaner production industries, greenwashing and financial constraints. Through manually collecting and constructing the index of China CPU (CN CPU) and accessing the firm-level fundamental characteristics data from the China stock market & Accounting Research (CSMAR), we obtained a panel of data of listed Chinese manufacturing firms with more than 14,000 observations from 2012 to 2019. This study suggests that the CN CPU can significantly drive firms’ green innovation performance. Specifically, firstly, heavily polluting firms are more motivated to improve green innovation than cleaner production firms. Secondly, the R&D investment strategy should be adopted to smooth the financing of green innovation projects. The growth option theory works that high competition industries can push the firms to increase R&D investment, which significantly improves green innovation. Thirdly, firms with greenwashing behaviour, financial constraint and less regulation do not significantly finance R&D investment to contribute to green innovation. This study contains useful insights into corporate governance and green innovation on how firms can cope with the climate policy challenge