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Incidence of Green Accounting on Competitiveness: Empirical Evidences from Mining and Quarrying Sector
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Author(s): Ramakrushna Panigrahi (International Management Institute, Bhubaneswar, India)
Copyright: 2017
Pages: 9
Source title:
Business Analytics and Cyber Security Management in Organizations
Source Author(s)/Editor(s): Rajagopal (EGADE Business School, Tecnologico de Monterrey, Mexico City, Mexico & Boston University, USA)and Ramesh Behl (International Management Institute Bhubaneswar, India)
DOI: 10.4018/978-1-5225-0902-8.ch019
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Abstract
The traditional growth theories and neoclassical economic development models have dominated the economic policies in both developed and developing economies over last decades. As a result, the global output has increased manifold due to inherent cost competitiveness ingrained in neoclassical model that heavily relies on optimization of output and resources based on the marginality principle. However, income growth has resulted in environmental degradation and depletion of natural resources as the framework of SNA does not treat these resources as fixed capital and hence, the depreciation of such resources are not treated aptly in the framework of income accounting. The environmental degradation and the recent phenomenon in global warming and the debate of climate change have taken centre-stage in the political discourse. This prompts for an urgent need for an institutionalized market oriented framework to treat environmental costs and depletion of natural resources. This paper makes an attempt to provide a framework to estimate green income from Mining and Quarrying sector by incorporating depreciation factor and examines its implications for export competitiveness of the sectors which use the output of Mining sector as inputs.
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