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Many studies used short-term economic metrics such as net income, return on equity or per-share stock prices, but the economic impact of social involvement may take longer than the period those indicators measure. Additionally, many of the analyses were done on the basis of news articles, “reputation” indexes or annual reports which are questionable in terms of their reliability as measures of a company’s social responsibility.
Causation is another problem with the studies conducted. If a study showed a positive correlation between social involvement and economic performance, it does not necessarily mean that the better economic performance was caused by the social involvement of the company...
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