Fig. 3: The result of parallel trend test.
From: Environmental vertical management reform and firms’ ESG performance: evidence from China
The X-axis represents the time relative to the year of environmental vertical management reform. The Y-axis represents the impact coefficients of environmental vertical management reform, with the dots indicating specific coefficient values. The dashed lines where the dots are located represent the confidence intervals. The long vertical dashed line marks the year of policy implementation. If the confidence interval of the coefficient (represented by the dot) falls outside of 0(i.e., the long horizontal dashed line), it indicates that the coefficient is significantly different from zero, implying a significant policy impact. If the confidence intervals of the pre-policy coefficients include 0, it indicates that the parallel trends assumption has been satisfied.
