Study On Environment-friendly GDP For The First Industry

GDP is one of the most influential indexes to evaluate the economical vitality. In China, special emphasis is paid on GDP which is even used the judge the performance of government and officials. However, when the baton is excessively used, lots of problem emerged in which the environmental factors, considering sustainable development, are essential. First of all, GDP cannot reflect the contribution to economy from natural resources and the huge economic value of ecological resources. Secondly, the economic loss cause by environmental degradation is completely ignored. Thirdly, the consummation and depreciation of natural resources cannot be found in the traditional accounting system. Last, the expense on environmental protection is added as a part of economic production.The first industry, including agriculture, poultry and livestock husbandry, fishery, and forestry is the dominant component of the economy system in China. The pollution caused by the first industry has become more serious and prominent as more domestic and industrial wastewater in urban area is collected and treated. Since the excessive and unscientific use of fertilizer, especially for nitrogenous fertilizer, is very common, then the utilization ratio of nitrogen is very low, which leads to more than 15,000,000 ton of pure nitrogen being washed away from the farm every year.Through improving the currently national economy accounting system, the environmental resources will be integrated as an indispensable part. The contribution to the production process from the environmental resources and the loss of environmental resources reservation was accounted. Especially, the valuation of environmental pollution and the ecological degradation can call our attention to the negative environmental factors accompanied with economic development. By analyzing the environmental cost and degradation caused by the increase of GDP, the shortsighted economic activities will be reduced, the natural resources will be cherished and the environment will be protected.The physical flow account for the first industry pollution was established and several valuation techniques was used to calculate the environmental cost to treat the...