MOSES L. PAVA is currently Associate Professor of Accounting and holds the Alvin H. Einbender Chair in Business Ethics at the Sy Syms School of Business, Yeshiva University in New York. He is the author of numerous articles on financial disclosures and corporate social responsibility and is author of The Shareholder's Use of Corporate Annual Reports (1993).JOSHUA KRAUSZ is Gershon and Merle Stern Professor of Banking and Finance at the Sy Syms School of Business, Yeshiva University. His research interests include financial analysis, ethics and social responsibility, financial accounting, options and derivatives, price behavior, capital budgeting, and taxation.

• Acknowledgments Introduction: The Idea of Corporate Social Responsibility The Association between Corporate Social Responsibility and Financial Performance The Paradox of Social Cost The Association between Corporate Social Responsibility and Financial Performance: Methodology and Results The Language of Corporate Social Responsibility Annual Reports as a Medium for Voluntarily Signalling and Justifying Corporate Social Responsibility Activities The Language of Corporate Social Responsibility: Methodology and Results The Legitimacy of Corporate Social Responsibility Criteria for Evaluating the Legitimacy of Corporate Social Responsibility Projects Evaluating Specific Social Responsibility Projects Corporate Responsibilities Beyond an Information Disclosure Policy Conclusions: Ten Propositions about Corporate Social Responsibility Bibliography Appendix A: Summary of 21 Empirical Studies Appendix B: Socially Screened versus Control Firms Appendix C: Socially Screened versus Control Firms