Corporate Social Responsibility Disclosure and Stock Market Liquidity: The Case of Jordan-Reference-Cited by-同舟云学术

Corporate Social Responsibility Disclosure and Stock Market Liquidity: The Case of Jordan

Published:2023-12-21 Issue:1 Volume:16 Page:88
ISSN:2071-1050
Container-title:Sustainability
language:en
Short-container-title:Sustainability

Author:

Haddad Ruwaidah H.¹,Haddad Ayman E.²^ORCID,Haddad Ayham³^ORCID,Sawalha Nabeel²^ORCID

Affiliation:

1. Department of Accounting, Yarmouk University, Irbid P.O. Box 566, Jordan

2. College of Business and Economics, American University of Kuwait (AUK), Safat 13034, Kuwait

3. Kellstadt Graduate School of Business, DePaul University, Chicago, IL 60604, USA

Abstract

This study aims to evaluate the level of corporate social responsibility (CSR) disclosure in the annual reports of Jordanian companies, and to examine its impact on stock market liquidity. The findings indicate a significant variation in the extent of CSR disclosure among the companies, with an average disclosure rate of 48.12% of the applicable items. The regression analysis results show no significant relationship between CSR disclosure and the bid–ask spread. The study concludes that investors do not heavily rely on CSR disclosures when making decisions about trading involving Jordanian companies. This lack of dependence may be attributed to such information’s perceived inaccuracy or incompleteness. Investors may turn to alternative sources of information, such as news sources, and even advice from their networks.

Funder

AUK Open Access Publishing Fund

Publisher

MDPI AG

Subject

Management, Monitoring, Policy and Law,Renewable Energy, Sustainability and the Environment,Geography, Planning and Development,Building and Construction

Link

https://www.mdpi.com/2071-1050/16/1/88/pdf

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