ABSTRACT

Climate Change and Social Responsibility: Helping Corporate Boards and Investors Make Decisions for a Sustainable World, Virtual Hearing Before the Subcommittee on Investor Protection, Entrepreneurship, and Capital Markets of the Committee on Financial Services, U.S. House of Representatives, One Hundred Seventeenth Congress, First Session, February 25, 2021   [open pdf - 222MB]

This is the February 25, 2021 virtual hearing on "Climate Change and Social Responsibility: Helping Corporate Boards and Investors Make Decisions for a Sustainable World," held before the House Subcommittee on Investor Protection, Entrepreneurship, and Capital Markets of the Committee on Financial Services. From the opening statement of Brad Sherman: "For hundreds of years, boards of directors and investors have focused pretty much on one thing: Can the corporation pay dividends?The chief measure of this was earnings per share. The accounting profession for centuries has developed a system to define, measure, tabulate, audit, and report earnings per share. Those who defined earnings per share controlled what a corporation would do, since its board would instruct its executives to do whatever was legal and ethical in order to achieve earnings per share. And this met societal expectations, since society simply wanted corporations to create and maintain profitable businesses. Today, we have different expectations. In addition to shareholders, we have stakeholders. All of us are stakeholders. Society at large protects the corporation and its property, educates its workforce and their children, and stakeholders also want to know what the corporation is doing. And the shareholders themselves want more information than earnings per share. They especially want information about the effect on climate change." Statements, letters, and materials submitted for the record include those of the following: James Andrus, Andy Green, Veena Ramani, Vivek Ramaswamy, and Heather McTeer Toney.

Report Number:
Serial No. 117-7
Publisher:
Date:
2021
Copyright:
Public Domain
Retrieved From:
U.S. Government Publishing Office: http://www.gpo.gov/
Format:
pdf
Media Type:
application/pdf
URL:
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