{"type":"script","doc_desc":{"producers":[{"name":"Reproducibility WBG","abbr":"DECDI","affiliation":"World Bank - Development Impact Department","role":"Verification and preparation of metadata"}],"prod_date":"2026-01-08","version":"1"},"project_desc":{"authoring_entity":[{"name":"Alvaro Pedraza","affiliation":"World Bank","email":"apedrazamorales@worldbank.org"},{"name":"Anne Beck","affiliation":"World Bank","email":"abeck2@worldbank.org"}],"title_statement":{"title":"Reproducibility package for Deep And Shallow Decarbonization In Supply Chains","idno":"RR_WLD_2025_522"},"data_statement":"Some data is temporarily embargoed by the authors (expected to be made public in the future).","software":[{"name":"Stata","version":"18 MP"}],"scripts":[{"title":"Reproducibility package for Deep And Shallow Decarbonization In Supply Chains","date":"2026-01","notes":"Computational reproducibility verified by Development Impact (DECDI) Analytics team, World Bank.","instructions":"See README in reproducibility package.","file_name":"RR_WLD_2025_522","zip_package":"RR_WLD_2025_522.zip","dependencies":"Stata dependencies are listed in the ado folder."}],"repository_uri":[{"name":"Reproducible Research Repository (World Bank)","uri":"https:\/\/reproducibility.worldbank.org"}],"production_date":"2026-01-08","abstract":"This paper examines how suppliers adjust their decarbonization choices when major customers obtain validated emission-reduction targets. Using global supplier--customer links matched to firm-level emissions and project-level data from voluntary carbon registries, the analysis shows that downstream climate pressure elicits both real and symbolic responses, but in systematically different ways across suppliers. On average, treated suppliers become more likely to adopt climate targets of their own. High-emission suppliers subsequently reduce their emission intensity relative to comparable firms, indicating meaningful operational adjustments. Low-emission suppliers, by contrast, do not further reduce emissions; instead, they expand their use of carbon credits, sharply increasing offset intensity as a lower-cost alternative to additional physical abatement. These offsets disproportionately originate from lower-rated projects, suggesting that increased demand does not translate into pressure for higher-quality credits. Overall, downstream climate commitments induce a sorting in decarbonization strategies: high-emission suppliers undertake substantive reductions, while low-emission suppliers rely more heavily on market-based mechanisms to meet customer expectations.","geographic_units":[{"name":"World","code":"WLD"}],"keywords":[{"name":"Carbon Offsetting"},{"name":"Supply Chain"},{"name":"Decarbonization"},{"name":"Greenwashing"}],"topics":[{"id":"F18","uri":"https:\/\/www.aeaweb.org\/econlit\/jelCodes.php?view=jel","vocabulary":"Journal of Economic Literature (JEL)","name":"Trade and Environment","parent_id":"F1"},{"id":" L14","uri":"https:\/\/www.aeaweb.org\/econlit\/jelCodes.php?view=jel","vocabulary":"Journal of Economic Literature (JEL)","name":"Transactional Relationships \u2022 Contracts and Reputation \u2022 Networks","parent_id":"L1"},{"id":" Q54","uri":"https:\/\/www.aeaweb.org\/econlit\/jelCodes.php?view=jel","vocabulary":"Journal of Economic Literature (JEL)","name":"Climate \u2022 Natural Disasters and Their Management \u2022 Global Warming","parent_id":"Q5"},{"id":" Q56","uri":"https:\/\/www.aeaweb.org\/econlit\/jelCodes.php?view=jel","vocabulary":"Journal of Economic Literature (JEL)","name":"Environment and Development \u2022 Environment and Trade \u2022 Sustainability \u2022 Environmental Accounts and Accounting \u2022 Environmental Equity \u2022 Population Growth","parent_id":"Q5"}],"output":[{"type":"Working Paper","description":"Policy Research Working Papers (PRWP)","title":"Deep And Shallow Decarbonization In Supply Chains"}],"language":[{"name":"English","code":"EN"}],"technology_requirements":"Run time: ~75 minutes","disclaimer":"The materials in the reproducibility packages are distributed as they were prepared by the staff of the International Bank for Reconstruction and Development\/The World Bank. The findings, interpretations, and conclusions expressed in this event do not necessarily reflect the views of the World Bank, the Executive Directors of the World Bank, or the governments they represent. The World Bank does not guarantee the accuracy of the materials included in the reproducibility package.","license":[{"name":"Modified BSD3","uri":"https:\/\/opensource.org\/license\/bsd-3-clause\/"}],"contacts":[{"name":"Alvaro Pedraza","affiliation":"World Bank","email":"apedrazamorales@worldbank.org"},{"name":"Reproducibility WBG","affiliation":"World Bank","email":"reproducibility@worldbank.org"}],"reproduction_instructions":"All code and data files are temporarily embargoed by the authors and are expected to be made public in this repository in the future.\n\n1. **Secure Access to Data:** Access the datasets not included in the package. See subsection Datasets and the README for more details.\n2. **Download and Place Data:** Once the data is accessed, users should place it in the appropriate folder.\n3. **Run the Package:** After placing the data in the folder, run the files in the order:\n      - Update the global in line 9 of the do-file \"main\" to your folder's location and run the do-file. \n\nSince all the data is not included, the package includes the results produced by replicators. These files can be used to review the results presented in the paper.","technology_environment":"Paper exhibits were reproduced on a computer with the following specifications:\n\u2022 OS: Windows 11 Enterprise\n\u2022 Processor: INTEL(R) XEON(R) PLATINUM 8562Y+ 2.80 GHz (4 processors)\n\u2022 Memory available: 32.0 GB\n","datasets":[{"citation":"Barbara K. Haya, Aline Abayo, Xinyun Rong, Tyler Gail Bernard, Ivy S. So, Micah Elias. (2025, January). Voluntary Registry Offsets Database v2024-12-year-end, Berkeley Carbon Trading Project, University of California, Berkeley. Retrieved from: https:\/\/gspp.berkeley.edu\/faculty-and-impact\/centers\/cepp\/projects\/berkeley-carbon-trading-project\/offsets-database \t\n","uri":"https:\/\/gspp.berkeley.edu\/berkeley-carbon-trading-project\/offsets-database","license_uri":"https:\/\/gspp.berkeley.edu\/berkeley-carbon-trading-project\/offsets-database","license":" Creative Commons Attribution (CC BY 4.0)","access_type":"Data is temporarily embargoed by the authors (expected to be made public in the future).","name":"Carbon Offset Issuances and Retirements Database","note":"Compiled by the author using the Berkeley Carbon Trading Project \u2013 Offset Issuances & Retirements Database (version archive-v2024-12-year-end), downloaded on January 7, 2025. The raw source consists of registry files from major voluntary carbon markets (ACR, CAR, Gold Standard, and Verra), which were harmonized and linked to project-level characteristics following procedures documented in the README.\nFiles: Data\/Raw\/Proprietary\/Retirements_&_ListedFirms.dta"},{"name":"MSCI Carbon Project Ratings","license_uri":"https:\/\/www.msci.com\/legal\/terms-of-use","access_type":"Data is publicly available but cannot be redistributed. ","citation":"MSCI Inc. MSCI Carbon Project Ratings. Restricted-access web-based database. Accessed via the \u201cView our Ratings\u201d interface (registration required). Retrieved January 2025. https:\/\/www.msci.com\/data-and-analytics\/carbon-markets\/carbon-project-ratings","note":"Project-level ratings compiled by the authors from the MSCI Carbon Project Ratings web interface (registration required). Ratings were retrieved for each ProjectID in Retirements_&_ListedFirms.dta, harmonized across registry-specific identifiers, and merged back to the retirement-level data. Ratings reflect status as of January 2025.\nFiles: Data\/Raw\/MSCI_rating.dta\n","uri":"https:\/\/www.msci.com\/data-and-analytics\/carbon-markets\/carbon-project-ratings"},{"license_uri":"https:\/\/sciencebasedtargets.org\/about-us\/website-terms-of-use","access_type":"Data is publicly available but cannot be redistributed. ","name":"SBTi Target Approvals and Commitments","note":"Compiled by the author using publicly available information from the Science Based Targets initiative (SBTi) Target Dashboard and archived snapshots of the \u201cCompanies Taking Action\u201d page accessed via the Internet Archive\u2019s Wayback Machine. Annual snapshots from 2015\u20132025 were manually extracted or supplemented with downloadable files when available, harmonized across years, and cleaned to construct a consistent historical panel. Detailed instructions in the REAME. \nFiles: Data\/Raw\/SBTi Historical Panel.xlsx; SBTitargets.dta\n","citation":"Science Based Targets initiative (SBTi). SBTi Target Dashboard and Companies Taking Action Data. Restricted-access web-based database. Downloaded December 9, 2025. https:\/\/sciencebasedtargets.org\/target-dashboard","uri":"https:\/\/sciencebasedtargets.org\/target-dashboard"},{"name":"ISS STOXX Climate Core - Impact","note":"This study uses firm-level greenhouse gas emissions, sales, and climate-target disclosure data from the ISS (Institutional Shareholder Services group of companies) STOXX Climate Core \u2013 Impact (DataDesk Data Set). Access to these data is restricted to institutional subscription agreements, and licensing terms prohibit redistribution or inclusion of the raw data in this replication package.\nFor this project, licensed data covering the years 2012\u20132023 were provided directly by ISS STOXX via secure SFTP transfer on March 25, 2025. Additional information on the data product is available from the vendor: https:\/\/www.issgovernance.com\/sustainability\/climate-solutions\/climate-analytics\/.\n\nFiles: Data\/Raw\/ISS\/Climate Core_[YEAR].xlsx; FY Climate Core 2023_Issuers_20250411.csv","access_type":"Data access was granted directly to the study authors by the data owners\/managers. It was obtained with a custom data license that does not allow for redistribution and it is not included in the reproducibility package.","citation":"ISS STOXX. Climate Core \u2013 Impact (DataDesk Data Set): Firm-Level Greenhouse Gas Emissions, Sales, and Climate Target Disclosures. Proprietary database, ISS STOXX, accessed via institutional subscription. Data for years 2012\u20132023. Delivered via secure SFTP on March 25, 2025.","license_uri":"https:\/\/www.issgovernance.com\/terms-use\/"},{"name":"FactSet Revere Supply Chain Data","note":"Firm-level supplier\u2013customer relationships are constructed using proprietary FactSet Revere (https:\/\/www.factset.com\/solutions\/data-solutions) supply chain and fundamentals data. Access requires an institutional license, and raw data cannot be redistributed. The analysis is based on a FactSet Loader data pull from August 26, 2025; replication requires independent access to the same FactSet products. More details in the README\n\nFiles: Proprietary\/FS\/_ent\/ent_v1_ent_entity_coverage.dta; ent_v1_ent_entity_identifiers.dta; ent_v1_ent_entity_naics_rank.dta; ent_v1_ent_scr_coverage.dta; ent_v1_ent_scr_relationships.dta; Proprietary\/FS\/_ff\/ff_v3_ff_sec_entity.dta; Proprietary\/FS\/_ref\/ref_v2_entity_type_map.dta; Proprietary\/FS\/_sym\/sym_v1_sym_isin_hist.dta\n","license_uri":"https:\/\/www.factset.com\/legal","access_type":"Data access was granted directly to the study authors by the data owners\/managers. It was obtained with a custom data license that does not allow for redistribution and it is not included in the reproducibility package.","citation":"FactSet Research Systems Inc. FactSet Revere Supply Chain Relationships and Firm Fundamentals. Proprietary database, accessed via institutional subscription. Data retrieved using FactSet Loader on August 26, 2025. https:\/\/www.factset.com\/data"}]},"tags":[{"tag":"DOI"},{"tag":"Open Code"},{"tag":"Restricted Data"}],"schematype":"script"}