Measuring Canada’s natural wealth: why we need both physical and monetary accounts

Abstract

If sustainable development is going to be more than a slogan, it requires definition, quantitative objectives and indicators for measuring any progress in preserving the environment for future generations. Expanded national wealth accounts are seen as one of the tools in measuring sustainability whether it is a measure of wealth per capita or a measure of a nation’s total capital over time. Fundamental to the concept of sustainable development is capital maintenance (produced, natural, human and social capital). However, does the concept of capital maintenance refer to the value of natural resources or to the physical volume of natural resource stocks? As shown in the paper there is a need for both physical and monetary accounts in order to show whether or not Canada is maintaining its mineral stocks in both monetary and physical terms.