From data to carbon efficiency: Data as a production factor and corporate carbon intensity.

This paper examines whether firms' use of data is associated with lower carbon intensity. We construct a firm-level measure of data elements (DE) from the annual reports of Chinese A-share listed firms from 2010 to 2023. The baseline outcome is corporate carbon intensity (CI). It is measured as estimated CO2 emissions per unit of operating revenue. Higher DE is associated with lower CI. A one-standard-deviation increase in DE corresponds to an approximately 0.35% decline in CI. The result is robust to alternative measures and specifications. The evidence is consistent with better asset use, stronger green innovation, and improved environmental information governance. The relationship is more evident under stronger environmental regulation and among firms with weaker initial digital capability. Lower CI, however, does not imply lower total emissions.