Author(s)

Dai Yu ¹, Liu Jihan ¹

Affiliation(s)

¹ School of Economics and Management, Southwest Petroleum University, Chengdu, 610500, China

Corresponding Author

ABSTRACT

Green Bond is a new type of enterprise financing tool. According to the dynamic game characteristics of incomplete information between enterprises and green investors in the process of green bond financing, a signaling game model between enterprises and green investors is constructed, the strategy selection mechanism of both sides and the related influencing factors are obtained. The results show that the disg cost and the discovered risk cost are the main reasons that affect the equilibrium state, and the misjudgment of green investors will also affect the strategic choice of both sides. According to this conclusion, some suggestions are put forward to provide theoretical reference and guidance for enterprises to issue green bonds.

KEYWORDS

CITE THIS PAPER

Dai Yu, Liu Jihan, Signaling Game Analysis between Enterprises and Green Investors under Green Bond Financing. Financial Engineering and Risk Management (2022) Vol. 5: 130-139. DOI: http://dx.doi.org/10.23977/ferm.2022.050516.

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