Selfish Corporations

98 Pages Posted: 2 Dec 2020 Last revised: 1 Feb 2021

See all articles by Emanuele Colonnelli

Emanuele Colonnelli

University of Chicago - Booth School of Business

Niels Joachim Gormsen

University of Chicago - Booth School of Business

Date Written: January 30, 2021

Abstract

We conduct large-scale surveys of U.S. citizens aimed at measuring perceptions of large corporations’ environmental, social, and governance practices and investigate how these perceptions affect the public support for economic policies. The public demands corporations to behave better within society, a sentiment we label “big business discontent.” We experimentally vary individual perceptions through animated videos highlighting corporations’ role in society and by changing the order of survey sections. We show that higher big business discontent lowers support for corporate bailouts. The effects persist after a week, are reflected in costly behavioral actions, and span the full political spectrum.

Keywords: big business, corporations, information experiment, economic policies, ESG, beliefs, bailouts

JEL Classification: G34,G38, D63, D72, M14

Suggested Citation

Colonnelli, Emanuele and Gormsen, Niels Joachim, Selfish Corporations (January 30, 2021). Chicago Booth Research Paper No. 20-51, Chicago Booth: George J. Stigler Center for the Study of the Economy & the State Working Paper No. 305, Fama-Miller Working Paper, Available at SSRN: https://ssrn.com/abstract=3738503 or http://dx.doi.org/10.2139/ssrn.3738503

Emanuele Colonnelli (Contact Author)

University of Chicago - Booth School of Business ( email )

HOME PAGE: http://emanuelecolonnelli.com

Niels Joachim Gormsen

University of Chicago - Booth School of Business ( email )

5807 S. Woodlawn Avenue
Chicago, IL 60637
United States

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