This page has only limited features, please log in for full access.
Hanyi Zhao received the B.S. degree in Financial management from Chengdu University of Technology, Chengdu, China, in 2017 and the M.S. degree in Finance from University of Electronic Science and Technology of China, Chengdu, China, in 2019. She is currently working toward the Ph.D. degree in Financial Engineering with the School of Management and Economics, University of Electronic Science and Technology of China, Chengdu, China. Her research interests include Game analysis, Green Bonds and Government Regulatory.
Issuance effects are regarded as one of the most important aspects referring to the regulatory guidelines of green corporate bond ratings. This paper developed a new incentive difference Hotelling model, considering four major factors, i.e., the direct effect of issuance, the indirect effect of issuance, the reputation of rating agencies and the regulatory penalties. In this model, how the direct effect and the indirect effect impact the dual rating mechanism and the integrated rating mechanism was discussed. Numerical experiments were conducted to explore the regulatory effects on the two defined mechanisms in different situations. The results demonstrate that under each mechanism, the direct and indirect effects of issuance indirectly improve the effectiveness and efficiency of regulation by increasing the environmental benefit information content in the rating information, and the indirect effect has a greater impact. Moreover, it provides specific recommendations for the design of a regulatory regime.
Hanyi Zhao; Yixiang Tian; Xiangyun Zhou; Luping Zhang; Wei Meng. Rating Regulatory Mechanism Effect Promotion under the Environmental Issuance Effects: Based on the Incentive Difference Hotelling Model. Sustainability 2021, 13, 5368 .
AMA StyleHanyi Zhao, Yixiang Tian, Xiangyun Zhou, Luping Zhang, Wei Meng. Rating Regulatory Mechanism Effect Promotion under the Environmental Issuance Effects: Based on the Incentive Difference Hotelling Model. Sustainability. 2021; 13 (10):5368.
Chicago/Turabian StyleHanyi Zhao; Yixiang Tian; Xiangyun Zhou; Luping Zhang; Wei Meng. 2021. "Rating Regulatory Mechanism Effect Promotion under the Environmental Issuance Effects: Based on the Incentive Difference Hotelling Model." Sustainability 13, no. 10: 5368.