[2603.18415] The Spillover Effects of Peer AI Rinsing on Corporate Green Innovation

Computer Science > Computers and Society arXiv:2603.18415 (cs) [Submitted on 19 Mar 2026 (v1), last revised 22 Mar 2026 (this version, v2)] Title:The Spillover Effects of Peer AI Rinsing on Corporate Green Innovation Authors:Li Wenxiu, Wen Zhanjie, Xia Jiechang, Guo Jingqiao View a PDF of the paper titled The Spillover Effects of Peer AI Rinsing on Corporate Green Innovation, by Li Wenxiu and 3 other authors View PDF Abstract:At a time when the phenomenon of 'AI washing' is quietly spreading, an increasing number of enterprises are using the label of artificial intelligence merely as a cosmetic embellishment in their annual reports, rather than as a genuine engine driving transformation. A test regarding the essence of innovation and the authenticity of information disclosure has arrived. This paper employs large language models to conduct semantic analysis on the text of annual reports from Chinese A-share listed companies from 2006 to 2024, systematically examining the impact of corporate AI washing behaviour on their green innovation. The research reveals that corporate AI washing exerts a significant crowding-out effect on green innovation, with this negative relationship transmitted through dual channels in both product and capital markets. Furthermore, this crowding-out effect exhibits heterogeneity across firms and industries, with private enterprises, small and medium-sized enterprises (SMEs), and firms in highly competitive sectors suffering more severe negative i...