Management accounting for Sustainable Development Essay

Management accounting for Sustainable Development - Essay Example In the fifties, the concept of growth came as an unexplored horizon in Economics. However when this theory failed to reconstruct the world under the Marshall plan, then economists like Arrow brought a new concept popularly identified as development. Development differs from growth in the way that growth only considers the economic variables of human life while development is more interested in socio economic factors. The concept of development seems to be more justified than growth particularly improving the third world countries. However, whether development can be sustained or not, considering the limited amount of resources in the world, remained unanswered till 1987. Again, development suffers not only from the resource constraint but human life is constantly leaving some permanent marks through some irreversible changes, which also constraints development. The concept of sustainable development put its first step in the human mindset through Brundtland report named as â€Å"Our Common Future† (1987). Under sustainable development the needs of the present generation gets satisfied without compromising the future generation’s ability to satisfy their requirements. Sustainable development can be called as a culmination of the decision making process towards sustainability with the internalization of environmental costs. With this cost concept comes the most important and touchy factor known as ‘pricing of environmental goods’.