environment medium MCQ

Which of the following is a key objective of 'Natural Capital Accounting'?

  1. Ignoring environmental assets in economic planning
  2. Valuing ecosystem services and natural resources to inform sustainable policy and investment decisions
  3. Promoting extraction of natural resources without limits
  4. Focusing only on manufactured capital

Answer: Valuing ecosystem services and natural resources to inform sustainable policy and investment decisions

Natural capital accounting integrates environmental assets into national accounts (e.g., UN SEEA), revealing dependencies and trade-offs to guide sustainable development.

Topic Environmental Finance and Investment
Exam Relevance UPSC, SSC