The Effect of Corporate Social Responsibility and Audit Size on Credit Rating

기업의 사회적 책임과 감사인 규모가 기업신용등급에 미치는 영향

  • Jeon, Jin-Ho (Dept. of Business Administration, Catholic Kwan-Dong University)
  • 전진호 (가톨릭관동대학교 경영학과)
  • Received : 2017.11.13
  • Accepted : 2018.01.20
  • Published : 2018.01.28


This study analyzed annual final sample data from 159 companies based on firms selected as economic justice companies by Economic Justice Institute in Citizens' Coalition for Economic Justice in South Korea according to interest variables from 2005 until 2011. Analyzed results are as follows. First, higher scores in soundness and corporate social activities among CSR items suggested that corporate credit rating upgraded. This indicates that credit rating institutions give a good evaluation on their social activities and reflect them in credit rating assessment. However, environmental protection satisfaction and corporate credit rating showed the opposite results. Second, high objectivity and contribution to the economic development as well as supervision by giant auditors had substantial effects on higher corporate credit rating. In contrast, high soundness and supervision by giant auditors reduced corporate credit rating. Based on this outcome, it is estimated that there is a discriminatory response among CSR activities in terms of credit rating evaluation conducted by credit rating institution.


Corporate Social Responsibility;Audit Size;Credit Rating;KEJI Index;Convergence


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