You will complete the following 3 parts, I give you details about how to write each section follow each sub-title.
From the Word document called ‘information’ you will find I complete the data collection part and a table which will help you to complete your work, notes, you have to write 3 sections I ask you to complete with my requirement. You can download the relevant articles from the attached.
——————————————————————————
3.2.1. Institutional Environments
You should only be briefly mentioned what previous studies have done (how they measure IE in CSR-FP relationship, what technology they used in text) then outline your motivation then likely contributions of what you plan to do. Next, you could use the commented part (drawing upon institutional theory…), then another paragraph should describe for your data sources and methodology together, like regression equation and variables it would include and data sources for these variables. This should be done in one paragraph and be ‘descriptive’ of your data and methods for this essay, even for the regression equation, recalling you are studying moderating influence of IE on the CSR-FP relationship, which implies describing ‘interactive terms’ of IE with CSR.
—————————————————————————–
.3.2.2. Corporate Ability
Same as 3.2.1, You should only be briefly mentioned what previous studies have done (how they measure CA in CSR-FP relationship, what technology they used in text) then outline your motivation then likely contributions of what you plan to do (normally one paragraph). Paragraph about what variables you plan to use to study corporate ability (intangible assets etc…) and why. Methods and Data description. Note here we are studying ability as mediator. If you see the PDF (CSR PAPER 1) page 12 of 20 for the pdf, it describes a test of mediation by Baron and Kenny which you could reference but contextualise to your analysis (see paragraph, Following Baron and Kenny (1986)…).
This implies a two-step regression with first regression having CA as dependent variable and as a function of several firm characteristics and importantly CSR (e.g. CA = f(X, CSR)); with second step being a regression of FP on CA and CSR (latter included to control the direct effect of CSR on FP), but where CA is the fitted value from the first step regression. A test of mediation would examine these regressions without the first step estimation, to see what happens (i.e. FP = f(CSR, CA), where CA is not fitted value but actual values of CA). You could also have a second test of mediation where you do run the first step regression but as CA = f(X only without CSR), and see the fitted values of CA with/without controlling for CSR makes any difference. Note this is an adaptation of BK’s ‘mediation’ test. Recall relationship being studied is: CSRCAFP. See if you can describe all this verbally without equations…
—————————————————————————–
3.2.3. Corporate Taxation
Same as 3.2.1, You should only be briefly mentioned what previous studies have done (how they measure Taxation as a mediator in CSR-FP relationship, what technology they used in text) then outline your motivation then likely contributions of what you plan to do (normally one paragraph).. Regression analysis is bit different and need to be estimated as a two-step regression again but now the difference being CSR is now a mediator for taxation (TaxCSRFP). Note Paper PDF (CSR PAPER 2) may offer some clues!! Same as above describe this verbally without equations.
By the way I don’t where but somewhere in this section, you will need to briefly something about how you plan to deal with endogeneity. Perhaps in each sub-section with one/two sentences saying something like first time under IE:
To guard against endogeneity, first, the estimation will be done where we control for (time variant) firm-specific effects and time effects using either a time trend or time dummies, plus key control variables as informed by the extant literature. This should help to guard against omitted variable bias as linked to endogeneity. Second, to guard against reverse causality (linked with endogeneity) we use lags of all independent variables relative to the dependent variable (ad-hoc means to deal with endogeneity) and then use instrumental variables (IV) approach. In particular, the idea being to instrument CSR. Another possibility to explore sources of exogenous variation as connected with the variables of interest. For example, examination of corporate taxation may instrument corporate tax avoidance (CTA) using the 2008 enterprise tax reform. Therefore, CTA connected to the ETR-08 can be seen as instrument for current CTA. In the context of institutions, we can examine Eastern-Hinterland divide as geographically and historically induced institutional divide to examine how CSR-FP relationship of firms in cities within provinces bordering eastern/hinterland provinces differ and as this difference magnifies whether. Our focus could be looking at firms in the Yangzte River Delta provinces of Jiangsu and Zhejiang and neighbouring provinces of Anhui and Jiangxi.
