Pollution expenditure accounting, Public Economics

Pollution Expenditure Accounting

This has been the earliest reaction to overcome the weaknesses in the conventional economic accounts. It involves developing data series on pollution abatement and other environmental expenditures. However, there are some limitations of using this approach, which are mentioned below.

a) These data refer to expenditure already incurred, either due to policy or standard business and household practices. Hence they should not be considered as additions to conventional economic accounts as they are a re-specification of the information already accounted for;

b) The abatement expenditure data tend to overestimate the true opportunity costs, as they contain outlays on materials, which are already included in the value- added expression of the sector producing these materials. Thus there may be the risk of double counting;

C) The practice of comparing pollution abatement expenditures with GDP is misleading since the GDP covers primary costs and is free from double counting. This can be addressed by using input-output techniques.

The use of pollution expenditure data has limited scope for policy. They can only give an indication of how various environmental policies may affect productivity.


 

Posted Date: 12/18/2012 2:06:58 AM | Location : United States







Related Discussions:- Pollution expenditure accounting, Assignment Help, Ask Question on Pollution expenditure accounting, Get Answer, Expert's Help, Pollution expenditure accounting Discussions

Write discussion on Pollution expenditure accounting
Your posts are moderated
Related Questions
Question 1: "A Policy may be defined as a major course of action within a given environment intended to reach a goal or realize an objective." Give an account of the making

Horners method -  C program: Modify the program to implement the details for the recursive function called horners(double b, int n) that calculates Horner's method for a coeff

Q. Who will participate and how decision will be made are issues concerned with Public Choice. Whether participants are guided by social concerns or they harbour their private

Normal 0 false false false EN-IN X-NONE X-NONE MicrosoftInternetExplorer4

Our economic systems are of this type and share for general properties. a) Dissipative systems transform energy and process information to maintain a state of organization that

Normal 0 false false false EN-IN X-NONE X-NONE MicrosoftInternetExplorer4

Discuss whether high indirect taxes are the best way to discourage smoking.

Normal 0 false false false EN-IN X-NONE X-NONE MicrosoftInternetExplorer4

Normal 0 false false false EN-IN X-NONE X-NONE MicrosoftInternetExplorer4

eiplain why indifference curve are convex to the origin