ACCOUNTING FOR ENVIRONMENTAL EFFECTS AND INVESTMENT DECISION MAKING

Abstract

A major characteristic of the twentieth century is a concern for the mutual relationship between the organization and society. However, conventional economic organizational activity - as measured by accounti;g . l- and conceived through its practice and study- is producing a growing list 'of

social, ethical, and environmental problems. Accounting is somehow implicated in these problems. Social and environmental accounting and reporting are, at a minimum, an attempt to provide additional accounts which will handle some of these "problems" and, by doing so, to encourage behavior which will ameliorate the consequences of advanced economic life.

This chapter -is principally . concerned with introducing a general framework for the research, as well as tracing the emergence of environmental accounting.It specifically includes: