The Carbon Pricing Mechanism and Corporate Investment Decisions: A Study on the Global Aviation Industry

Abstract

This study Assessing the Impact of Carbon Pricing Policies on Aviation Firms with Corporate Investment Decisions as a Moderator. In order to lower greenhouse gas emissions and encourage sustainable practices, carbon pricing mechanisms such as carbon taxes, emissions trading schemes, and offset programs are rapidly being applied to the worldwide aviation sector. Even though these strategies are widely used, little empirical research has been done on how they affect company The influence of carbon pricing mechanisms on the financial and operational performance of airlines globally is investigated in this study, which also looks at how strategic investment choices can either amplify or lessen these effects. It also highlights the moderating impact of investment strategies, sheds light on cross national variations in firm responses, and has useful implications for airline management and policymakers who want to balance economic performance with environmental goals. The results are anticipated to add to the body of knowledge in corporate finance, environmental economics, and sustainable aviation management