Green GDP Accounting — Definition

Definition

Environmental-economic accounting organises information about environmental assets and flows in relation to economic activity. Green GDP is a broad label often used for environmentally adjusted economic measures, but it is not one universal formula or a complete welfare index.

A valid account states its starting measure, boundaries, adjustments and valuation methods. Gross and net measures differ, and physical accounts remain useful without a single monetary total. The purpose is to make resource use and environmental change visible alongside production, while avoiding double counting and unsupported claims about what a number represents.