Multiple choice

“Green Accounting” means measuring the National Income of the country taking into account estimation of _____.

  1. the total forest area of the country

  2. the destruction of forest cover of the country

  3. pollution and environmental damage

  4. area of reclaimed fallow land
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Green Accounting (or Environmental Accounting) incorporates environmental costs like pollution, depletion of natural resources, and ecological damage into national income calculations. Traditional GDP accounting treats environmental destruction as positive economic activity, while green accounting attempts to deduct these costs to measure sustainable development.

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