IDEAS home Printed from
MyIDEAS: Login to save this article or follow this journal

Valuing external costs - from theory to practice: implications for full cost environmental accounting

  • Nicolas Antheaume
Registered author(s):

    This article presents an experiment in full cost accounting applied to the case of an industrial process. It aims at exploring the difficulties of putting full cost accounting into practice. Its specific contribution to the growing body of experiments in full cost accounting is that it attempts to compare exactly what impacts can be translated into financial information with the impacts that are being left out. Amongst other things, we provide a quantitative figure of what is monetized in the experiment, expressed as a percentage of what should be monetized if all negative external effects were to be taken into account. The experiment uses three different external cost evaluation methods. The most comprehensive method monetizes less than 10% of the flows of the industrial process studied. According to the method used and the assumptions made, external costs vary by a factor of more than 1 to 12,000 per unit of product. The paper then discusses what can be learnt by comparing the range of results obtained with each method and suggests directions for future research.

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

    File URL:
    Download Restriction: Access to full text is restricted to subscribers.

    As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

    Article provided by Taylor & Francis Journals in its journal European Accounting Review.

    Volume (Year): 13 (2004)
    Issue (Month): 3 ()
    Pages: 443-464

    in new window

    Handle: RePEc:taf:euract:v:13:y:2004:i:3:p:443-464
    Contact details of provider: Web page:

    Order Information: Web:

    References listed on IDEAS
    Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

    as in new window
    1. Joskow, Paul L., 1992. "Weighing environmental externalities: Let's do it right!," The Electricity Journal, Elsevier, vol. 5(4), pages 53-67, May.
    Full references (including those not matched with items on IDEAS)

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    When requesting a correction, please mention this item's handle: RePEc:taf:euract:v:13:y:2004:i:3:p:443-464. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Michael McNulty)

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.