Table 1. Comparison of ESG investment scenarios (marginal and mismatch costs equal to 1).
| Scenario | Prices | Profits | ESG Investment | Consumer Welfare |
|---|---|---|---|---|
| Baseline model (no ESG investment) | 1.85 | 0.95 | 0 | 263.45 |
| ESG investment that only attracts consumers | 1.85 | 0.95 | 0 | 263.45 |
| ESG investment that attracts consumers AND reduces marginal costs (Fig 2) | 1 | 0.6 | 20 | 530 |
| ESG investment that attracts consumers AND increases product value (Fig 3) | 1.3 | 0 | 25 | 1220 |
| ESG investment that attracts consumers AND reduces marginal costs & increases product value (Fig 5) | 1.4 | 0 | 90 | 3230 |
| ESG investment that attracts consumers AND increases marginal costs & increases product value (Fig 6) | 1.1 | 0.65 | 15 | 970 |