Impact of Host Country Heterogeneity: Empirical Research Based on Data Mining and PSM-DID Model

Based on the data of Chinese listed manufacturing enterprises from 2011 to 2018, we carried out an empirical study by using propensity score matching (PSM) and difference in difference (DID) to discuss the promoting effect of overseas investment on corporate social responsibility. The impact of host country heterogeneity is also investigated. Using the propensity score matching method (PSM), we select the enterprises whose characteristics of manufacturing enterprises are closest to those of the treatment group from the original control group. The matching is based on the tendency score calculated by covariates. After matching, the final result is estimated by the double-difference model.