Amid growing global concerns regarding sustainable governance, understanding the drivers of ESG disclosure is vital for promoting transparency and responsible corporate behavior. This study examines the peer effects of ESG disclosure among 32,187 observations from Chinese A-share listed firms between 2010 and 2021. This research employs an instrumental variable approach based on stock-specific idiosyncratic returns estimated via the Carhart four-factor model to address endogeneity concerns. The results confirm significant peer effects, suggesting that firms adjust ESG practices in response to their industry counterparts. These effects are significantly moderated by firm-level characteristics, including information asymmetry, corporate reputation, and market competition, as well as by external conditions such as economic policy uncertainty, business environment volatility, and institutional quality. This research defines peer groups by industry affiliation and conducts robustness tests using ESG risk clustering to address classification bias. This study contributes to the literature by strengthening causal inference and refining the understanding of peer-driven ESG behavior by integrating institutional theory, signaling theory, and information economics. The findings offer practical implications for policymakers, investors, and corporate managers seeking to promote ESG convergence through peer-driven incentives in diverse regulatory contexts.

As ESG practices become increasingly embedded in global capital markets, their impact on firm financing costs remains an open question in emerging economies, where regulatory divergence and rating inconsistency complicate investor perceptions, particularly in China’s rapidly evolving financial environment. This study examines the impact of Environmental, Social, and Governance (ESG) performance on financing costs among Chinese non-financial listed firms, with a focus on the moderating roles of financial regulation and ESG rating divergence. Using a panel dataset of 4493 firms across 33,773 firm–year observations from 2011 to 2022, we employ a two-way fixed effects model, along with Propensity Score Matching and Difference-in-Differences (PSM-DID) techniques, to address endogeneity concerns and enhance causal inference. The findings reveal that improvements in ESG performance significantly reduce financing costs, substantially affecting debt relative to equity. Moreover, the cost-saving benefits of ESG are amplified in industries with stronger regulatory oversight, while high ESG rating divergence undermines these benefits by increasing uncertainty. These results highlight the importance of standardizing ESG rating systems and enhancing regulatory consistency. Such efforts can lower capital costs and improve financial access for firms, particularly in capital-intensive and environmentally sensitive sectors, offering actionable guidance for policymakers shaping disclosure frameworks and corporate managers optimizing ESG investment strategies.

Digitalization has reshaped economic systems worldwide, yet its distributional consequences remain uneven and raise new challenges for sustainable development. China, where digital infrastructure has expanded rapidly, provides a critical setting to examine these effects and their implications for sustainable and inclusive growth. Using a balanced panel of 285 prefecture-level cities from 2007 to 2023, this study constructs a text-based index of digital infrastructure from government work reports and applies two-way fixed effects, instrumental variables, nonlinear models, placebo tests, heterogeneity analysis, and spatial Durbin models. The results show that digital infrastructure significantly widens the urban–rural income gap, with the effect becoming increasingly convex as digital development deepens. Two mechanisms drive this pattern: the concentration of innovation resources in urban areas, which crowds out rural R&D, and a modest degree of wage-structure polarization. Spatial spillovers also matter; digital development in neighboring cities partially offsets local inequality by enhancing interregional connectivity and knowledge diffusion. These findings provide city-level causal evidence on the unequal distributional impacts of digitalization in large emerging economies and highlight the need for sustainability-oriented digital governance, inclusive innovation systems, and regionally coordinated strategies to prevent digital infrastructure from reinforcing structural disparities. Strengthening these policies is essential for achieving more sustainable urban–rural integration in the digital era.

This study aims to systematically explore the development of Environmental, Social, and Governance (ESG) integration in corporate finance over the past two decades, addressing gaps in thematic coherence, geographic representation, and strategic alignment. The study employs bibliometric analysis on 633 peer-reviewed ESG-related publications indexed in the Web of Science (2004–2024). It utilizes VOSviewer and Biblioshiny to conduct citation analysis, co-authorship network mapping, and keyword co-occurrence analysis. The Preferred Reporting Items for Systematic Reviews and Meta-Analyses (PRISMA) framework was applied to ensure transparency in data selection. The results reveal four distinct phases of ESG evolution: foundational ethics (2004–2013), strategic integration (2014–2018), expansion into performance and governance (2019–2021), and maturity with a focus on resilience and risk management (2022–2024). Key contributors, dominant journals, thematic clusters, and regional disparities were identified. Emerging opportunities include digital transformation, greenwashing detection, and inclusive ESG adoption in developing markets. ESG has transitioned from a peripheral ethical concern to a strategic framework for corporate financial decision-making. While developed countries lead in scholarly output, emerging markets offer untapped potential for innovation in ESG implementation. The study provides actionable insights for scholars, corporate practitioners, and policymakers to enhance ESG alignment with long-term value creation, transparency, and global sustainability goals. It also proposes future research pathways to address existing geographic and thematic imbalances in ESG literature.