Social Accounting Research Articles

The economic impacts of tourism-related private investment in Jamaica

This study assesses the economy-wide impacts of private investment in the hotel industry in Jamaica. Specifically, the paper develops a tourism-extended social accounting matrix (SAM) and a dynamic computable general equilibrium (CGE) model tailored to the Jamaican economy. To analyse impacts in terms of poverty and inequality, the CGE model results are linked with a microsimulation model. The results demonstrate that private tourism investments leading to an expansion of foreign demand for tourism can have positive impacts on national economies in terms of gross domestic product (GDP), employment, household incomes and poverty reduction. However, the distribution of benefits is dependent on socioeconomic factors such as the distribution of factor endowments among households. At the sectoral level, sectors catering more directly to tourism experience the highest rates of growth, while more export-oriented sectors do not fare as well given the upward pressure on prices and the real exchange rate resulting from higher tourism spending.

The Impacts of Drought on Southwest Tribal Economies

AbstractDrought negatively impacts agricultural productivity, often causing reduced crop yields and damage to pasture and rangelands. Droughts are particularly concerning for Native American reservations in the arid United States Southwest, as agricultural production on the reservations provides an important economic base. This study evaluates the impacts of drought on the cattle and hay sectors and resulting economic impacts on tribal communities in Arizona, Nevada, New Mexico, and Utah. Panel data analysis is used to estimate the impacts of drought, assessed using the Palmer Drought Severity Index (PDSI), on reservation cattle inventory and hay yields. Then, the supply‐driven social accounting matrix approach is used to quantify the total economic impacts on tribal economies given hypothetical drought scenarios. Results show that drought impacts cattle production more than hay/forage production. Each additional year of drought reduces cattle inventory by 1.9% in the following year. Furthermore, for every unit decrease in PDSI each year, cattle inventory and hay yields decline by 0.3% and 0.4%, respectively. The drought scenarios examined result in hefty economic losses for large reservation areas such as the Uintah and Ouray Reservation, Navajo Nation, and Tohono O'odham Nation. To alleviate the negative impacts of drought on reservation economies, hurdles that limit tribal ability to mitigate and adapt to drought and climate change impacts should be addressed.

Fuel tax, cross subsidy and transport: Assessing the effects on income and consumption distribution in Brazil

Passenger transport has become a typical item in the household budget in Brazil, and structural changes in this type of service affect households differently. Our paper explores the links between consumption, income and transport in assessing the redistributive and economic effects of the fuel tax in the Brazilian economy, called contribution of intervention in the economic domain (CIDE). To accomplish this task, we developed a dynamic computable general equilibrium model that recognizes a Social Accounting Matrix (SAM). Two scenarios are evaluated: (1) an overall cut of CIDE-fuels to assess its role in economy; (2) the burden of the gasoline tax and reduction of the diesel tax to subsidize public transport services. The main findings indicate a deviation from real GDP above the baseline forecast path, positively affected by internal market and the reduction in income inequality. Typical households in the middle- and lower-income bracket would benefit most from these policy instruments.

The impact of COVID-19 on the cultural and creative industries: determinants of vulnerability and estimated recovery times

ABSTRACT In many countries, lockdown regulations and social distancing have had a negative impact on the cultural and creative industries. As vaccination rates rise, and restrictions begin to ease, understanding the recovery paths for different parts of the sector in many contexts will be important. Much sector-specific research has been conducted, but there are far fewer studies that estimate the economy-wide impact of the lockdowns using quantitative techniques. Published research is also dominated by information from the global north, with less information coming from developing country contexts with higher levels of informality. This article uses two surveys (2020 and 2021) of firms and freelancers, and key stakeholder interviews in the cultural and creative industries, in South Africa and a Social Accounting Matrix, to fill this gap. Data on changing business continuity is used to construct a vulnerability score for each sub-sector, and to determine domain-specific factors that affect predicted recovery rates.

A Bibliometric Analysis and Systematic Review on E-Marketplaces, Open Innovation, and Sustainability

In recent years, the rise of e-commerce has prompted the emergence of electronic marketplaces, or e-marketplaces, which act as intermediaries in the buying and selling process, bringing together several vendors to offer a wide range of products and services to customers, generating modalities such as business-to-business (B2B), business-to-consumer (B2C) or consumer-to-consumer (C2C) e-marketplaces. E-marketplaces offer advantages such as access to potential buyers, business and product visibility, the reduction of transaction costs, the comparison of offers and prices among competitors, and the ease of business internationalization. However, the success of e-marketplace business models depends on the sustainability of these platforms, which must involve different stakeholders in order to meet economic, environmental, and social objectives. Therefore, this study presents a bibliometric analysis and systematic review of e-marketplaces, open innovation, and sustainability for the last ten, five, and two years. The analysis includes the number, types, and subject areas of documents published each year, as well as considerations such as the most-cited publications and the leading authors, journals, countries, and institutional affiliations. The analysis also includes a study of the relevant concepts in the publications and their relationships, identifying the predominant topics related to e-marketplaces, open innovation, and sustainability. The results indicate a focus on subject areas such as social sciences, environmental sciences, energy, business, management, and accounting, which is consistent with the economic, environmental, and social dimensions of sustainability. The findings show that e-marketplaces, open innovation, and sustainability are closely related to concepts such as sustainable development, e-commerce, digital marketing, China (the leading country in terms of publications in all periods), logistics, supply chain management, big data, planning, and decision making. Future works should address traffic congestion and environmental impact, new delivery practices in last-mile logistics, and the motives for users’ engagement in e-marketplaces. Likewise, future research can be oriented toward sustainability dimensions and stakeholders’ integration through open innovation and toward the limitations of SMEs in order to access and benefit from digital platforms.

REALITIES AND PROSPECTS OF INTEGRATED ACCOUNTING BY BUSINESS ENTITIES

The article substantiates the role and importance of an integrated accounting system, the need and features of its use by Ukrainian businesses. The number of business entities by types of economic activity in Ukraine is analyzed, information on trends in their associations is identified, which encourages the need for integrated accounting. It is outlined that the integration of accounting is manifested through the combination of the data from different types of accounting in one accounting system. The structure of the accounting system for sustainable development according to H. Jobstle is considered, which allows to combine the data from accounting, social and environmental accounting, as a result, the information needs of a wider range of interested users (both internal and external) are met. The possibility of integration of accounting, depending on the business entity, its type of activity and other factors that affect the content of the information space in accordance with the different needs of users of accounting information is considered. In particular, it was found that owners, managers and management staff (internal users of accounting information) are interested in the integration of financial, management and tax accounting. Consumers of products and services are interested in information that is formed by combining data from accounting, environmental and social accounting and reflects the quality and cost characteristics of such products and services. From the point of view of the Consortium's activity, as an association of enterprises, institutions and organizations, it is expedient to integrate accounting by types of activity: science, educational process and production. It is established that the integration of accounting for this activity is possible through the formation of the Work Plan of accounts. In this case, the Chart of Accounts is an accounting model that is a part of the technical basis for the formation of accounting information. Based on the study, the directions of further research on the use of an integrated accounting system by business entities and the reasons for their need are indicated.

Determinants of Social and Environmental Accounting Information Disclosure: An Analysis of Top 50 Firms in New Zealand

In this study, we examine the determinants of voluntary disclosures of Social and Environmental Accounting (SEA) among the top 50 firms in New Zealand over the period of 2011 to 2017. The study is an extension of Hackston and Milne’s (1996), however distinct in various ways; we use a relatively larger dataset spanning over seven years, we look at both qualitative and quantitative SEA information, and we include some additional industry and corporate governance variables that provides insightful results. The study is timely in that New Zealand is the first country to implement mandatory climate risk reporting according the New Zealand Minister for Climate Change, Mr. James Shaw (Climate Disclosure Standards Board, 2020), which is a significant step towards supporting SEA disclosure. Whilst realizing that it is optional for firms to be engaged in SEA disclosures, we come up with a more appropriate research design to examine both qualitative- and quantitative-types of SEA disclosure using probit and logit regressions. To contribute to this area of SEA, we extend our analysis to show the impact of industry-type, board size and board composition. The regression results show that profitability is positively associated with quantitative-type disclosure, and size is positively associated with both quantitative- and qualitative -type disclosures. The big four auditors are indifferent to the types of SEA disclosure; and board size is negatively associated with qualitative-type disclosure, and positively associated with quantitative-type disclosure. At sectoral level, building sector is positively associated only with the qualitative-type, whereas energy, retail and service sectors have positive associations in general. Interestingly, we note that female (male) directors have positive (negative) association with both type of disclosures. This study contributes to the SEA literature by categorizing and looking at both qualitative and quantitative SEA disclosures, looking at the type of industry preferring SEA disclosures, and extending the analyses to include corporate governance variables. In addition, the study presents some important factors that can influence the publication of both quantitative and qualitative SEA information for the interest of researchers, practitioners and regulators working in this domain in order to improve the overall SEA disclosure for firms. Finally, this paper shows the importance of gender balancing on boards in order to be engaged in voluntary disclosures such as SEA.

Accounting Treatment of Corporate Social Responsibility at PT Angkasa Pura I (Persero) International Airport I Gusti Ngurah Rai - Bali

Social responsibility accounting is a tool for companies to disclose social activities as a form of accountability to stakeholders and the community. The aim of this research is to analyze the social responsibility accounting treatment at PT AP I Bali Branch Office. Collecting data in this research using documentation techniques. In the validity of the data using a credibility test which is carried out by triangulation and holding a member check. This research uses a descriptive qualitative analysis technique. The results of the research indicate that (a) PT AP I Bali Branch Office in presenting reports on social responsibility outside of financial statements is in accordance with what is stated in PSAK No. 1 Regarding the Presentation of Financial Statements and (b) the social responsibility accounting reports carried out by PT AP I Bali Branch Office are in accordance with Law no. 40 of 2007 concerning Limited Liability Companies and Ministerial Regulation PER-02/MBU/04/2020 are reviewed through the form of the PKBL Report which is in accordance with the report format in the Circular Letter of the Minister of BUMN No. SE-02/MBU/Wk/2012.

Downstream Economic Implications of Predation in the South African Red Meat Industry

Globally, predation is an important and ongoing problem facing the livestock sector. This study estimated the downstream economic impact of predation in the South African red meat industry using a recent South African Social Accounting Matrix (SAM) and a partial equilibrium model. Due to predation the total output decreased by R 3,806 million and R 648 million for large (cattle) and small livestock (sheep and goat), respectively. The result implies that the loss of livestock due to predation reduces the number of livestock available for marketing and the presence of predators influences the level and intensity of best management practices employed by the red meat industry. The findings of this study, which looked at the macroeconomic implications of predation in the South African red meat industry, as well as the biodiversity and ecology aspects of predation, could help government and policymakers develop appropriate policies and mitigation strategies to reduce prediction and prioritize strategies that will help lessen the impact of predation.

There Should be More Normative Research on How Social and Environmental Accounting Should be Done

ABSTRACT I suggest that the SEA research community has not engaged significantly with the Intergovernmental Panel on Climate Change because our community generally does not offer normative policy-focused advice on how to account for climate change. This raises the question ‘Why not?’. It cannot be because there is no demand for normative accounting guidance, as examples of this need abound everywhere. And it cannot be because normativity is ‘not academic’ as other academic disciplines engage in normative research, notably the fields of economics and life cycle assessment. The SEA research community may be constrained by its social constructivist epistemology, its focus on explanatory theory which drives us towards explanatory rather than normative questions, and our training in social science research methods rather than direct engagement with how to do social and environmental accounting. Notwithstanding the challenges there is a pressing need for better accounting practice, and who better to develop methods for social and environmental accounting than the social and environmental accounting research community? Arguably, there should be more normative research on how social and environmental accounting should be done.

Accounting infrastructures and the negotiation of social and economic returns under financialization: The case of impact investing

Impact investing has emerged as a topical subject-matter for scholars working at the intersection between finance and social policy. By and large, it is seen as a product of financialization: some argue that the social is colonized by financial actors and methods, others see it as a site where boundary work produces a state of value plurality in which competing values—social and financial—co-exist. This article takes the latter perspective further and unpacks the endogenous dynamics underpinning the creation of social values in impact investing programs. It analyzes how high-level organizations in the field prescribed specific social impact valuation processes and mechanisms for collecting, measuring, and reporting data about value creation. It argues that the social values circulating in the impact investing field emerge from the interplay between a wide array of stakeholders, impact investors included. The social impact accounting tools that capture them materialize therefore as sites of political battles and negotiations between stakeholders, with both emancipatory but also exploitative potential. This has consequences upon our understanding of how financialization travels and how the social dynamics underpinning accounting devices (re)draw boundaries between competing values and fields.

The influence of Power’s audit society in environmental and sustainability accounting

PurposeThe purpose of this paper is to reflect upon the contribution of the Mike Power’s Audit Society and associated papers from the 1990s to the (then) emerging field of environmental accounting. The paper also looks forward to how these seminal ideas are influenced by accounting in the Anthropocene, as examined in more recent sustainability accounting literature.Design/methodology/approachThis is a reflective essay, drawing from the broad sweep of social, environmental and sustainability accounting literature.FindingsThe performativity of accounting and audit, as it pertains to the practices of environmental audit and sustainability reporting, is clearly evident, with Power’s work contributing significantly to this conceptualisation. At the same time, there is also a material dimension to this process. Indeed, distinguishing first and second-order risk (drawing from Power and others) is a critical and ongoing task for sustainability accounting.Originality/valueWe suggest that the Anthropocene offers challenges to the notion of the performativity of audit and reporting.

Social and Ethical Accounting: Giving a Social Face to Business

Business ethics leads to positive employee, customers and well community relations. It perceives better corporate image and reputation, greater customer loyalty, and a strong and healthier community. These benefits can ensure social and ethical accounting that is socially responsible. It is therefore, important that business schools and professionals in the corporate world turn their attention to these factors, since they are critical components in their training and practices.

Social and environmental accounting research in vulnerable and exploitable less-developed countries: a theoretical extension

ABSTRACT Research on social and environmental accountability (SEA) and transparency in less-developed countries may generate deeper insights, if theoretical underpinnings which are consistent with the social, political and economic realities found in these countries are used. This paper revisits “vulnerability and exploitability” framework introduced by [Belal, A. R., Cooper, S. M., & Roberts, R. W. (2013). Vulnerable and exploitable: The need for organisational accountability and transparency in emerging and less developed economies. Accounting Forum, 37(2), 81–91]. The paper refines, builds on and extends the theoretical context of the framework with a view to strengthening its ability to describe, explain and predict corporate SEA and transparency practices in less-developed countries. The study utilises analytical review of the relevant multidisciplinary literature from environmental economics, vulnerability and openness, and SEA in less-developed countries. In doing this, firstly, the paper derives three postulates and presents a diagram depicting the conditions which make less-developed countries vulnerable and exploitable. Secondly, as the main contribution of the study, pollution haven theory is integrated into the framework as an additional element. This leads to the derivation of five additional postulates and a modified diagram depicting the conditions for pollution haven and the outcomes of vulnerability’s causal link with exploitability and pollution haven. These outcomes take the form of poor SEA and transparency indicated by low corporate social and environmental performance, disclosure level and disclosure quality. The postulates developed are put forward for further debate and empirical tests.

Impact of Karot Hydro Power Project on Pakistan Economy

Pakistan has been facing the problem of energy crisis since 2007 and it has adversely affected the productivity and growth of the economy. To overcome this problem, under CPEC, 21 energy projects have been started in four provinces of Pakistan, Gilgit Baltistan (GB) and Azad Jammu & Kashmir (AJK). This study tries to access the impact of the CPEC energy project located in the Azad Jammu and Kashmir referred to as the 720MW Karot hydropower project on the economy of Pakistan using the Computable General Equilibrium (CGE) model. Based on Social Accounting Matrix (SAM) 2010-2011 and) Global Trade Analysis Project (GTAP) database, this study simulates the impact of Karot hydropower project on some of the macroeconomic variables. The simulated results reveal that real GDP and total exports to other countries increase owing to the investment in hydropower projects as well as an increase in the supply of electricity. Moreover, investment in the Karot hydropower project also increases the growth of the interlinked sectors such as manufacturing sector, transport, and communication, agriculture and services sector respectively. This study also observes that the real prices of factor input also increase which would have a direct impact on wellbeing of the people.

THE ROLE OF SOCIAL RESPONSIBILITY ACCOUNTING IN SUSTAINABLE DEVELOPMENT BY APPLICATION IN ISLAMIC BANKS(FROM THE POINT OF VIEW OF AL RAJHI BANK EMPLOYEES)

The study examined the role of social responsibility accounting in sustainable development in Islamic banks in the Kingdom of Saudi Arabia from the perspective of Al-Rajhi Bank employees. The study aimed to highlight the importance of the applied reality of social accounting in Islamic banks and to identify the effectiveness of social accounting in sustainable development. And its importance stems from the possibility of measuring the extent of application of social accounting in Islamic banks and explaining the impact of environmental accounting on achieving sustainable development.. Accordingly, the study was divided into an introduction, two parts, a summary and the most important results: and the first part; It deals with the concept of social accounting, its goals, importance, nature and fields. And the second part; It addresses the concept of sustainable development, its types and dimensions. The study ends with some considerations that help establish the concept of social accounting and its importance. The researcher concluded that there is a statistically significant relationship between environmental accounting and sustainable development, and the application of social accounting affects sustainable development in terms of its costs. The study also provides a set of recommendations to enhance the concept of social responsibility, as this concept helps direct the exploitation of available resources to serve the economic and social requirements of sustainable development. Key words: Social Responsibility, Social Responsibility Accounting, Areas Of Application Of Social Responsibility Accounting, Islamic Banks, Saudi Arabia.

Bridging the Understanding of Sustainability Accounting and Organizational Change

The role of sustainability accounting in promoting organizational change toward more sustainable practices is a relevant area of research for both accounting and organization studies. Despite the interdisciplinary nature of this topic, while accounting research was imagining and exploring the transformative potential of social and environmental accounting practices since the inception of this activity, scholars in organization studies have recently developed a more general interest in this matter. This article aims to review how the association between sustainability accounting and reporting and sustainable organizational change has been examined in both disciplines to elaborate on some potential bridges to foster the creation of an interdisciplinary research field around this association, where a fertile conversation could develop. The mapping of this literature prompts us to propose five bridges around: how accounting and reporting are conceived; the direction of causality between sustainability accounting and organizational change; the assemblage of explanatory factors; theoretical foundations; and research methods.

The Economic and Welfare Effects of Food Waste Reduction on a Food-Production-Driven Rural Region

Food waste is economically and ecologically unsustainable; the benefits of food waste reduction are indisputable. Yet knowledge of the economic trade-offs and knock-on effects of such reduction is deficient. This study examines the economic effects of food waste reduction in a rural region that is a nationally important producer of agricultural and food products in Finland. We built a detailed social accounting matrix to trace the transactions among the economic agents. Five different simulations of food waste reduction were run by applying a computable general equilibrium model. In the simulations, households and food services halved their food waste. The results indicated that food waste reduction is economically worthwhile in terms of regional investments and gross domestic product at market prices. However, the reduction induced economic trade-offs and welfare redistribution. The value added to the agriculture and food industries and the welfare of agricultural households decreased, albeit that the simulated compensations alleviated the effects. In the long run, falling agricultural wages and factor incomes entail closedowns and, finally, decrease local food production. This aspect is worth considering in terms of policy planning under the principle of just transition of the European Green Deal.

Social Responsibility Accounting, Disclosure and Real Practice: Evidence from Jordan

This study aims to present a true image of social responsibility accounting (SRA) in Jordanian companies listed on the Amman Stock Exchange (ASE). A survey questionnaire was employed to check the level of SRA practice, and a checklist was used to discover the level of SRA disclosure which was collected from the annual reports of the firms listed on the ASE. The questionnaires and annual reports were employed to collect information from 104 companies in the financial, services, and industrial sectors for this study. SPSS was used to for data analysis and the results showed that the level of SRA practice in listed companies on the ASE is good, while the level of SRA disclosure is very low. The latter could be related to many reasons, including lack of awareness of Jordanians companies' managers in the culture of SRA and related issues due to the novelty of SRA disclosure in Jordan and developing countries. In addition, companies mostly focus on product quality when they practice SRA.

The financial sector structure and performance and its impact on the Mexican economy: a perspective from the Financial Social Accounting Matrix

ABSTRACT The study of the financial system, within the context of a Social Accounting Matrix, to identify its potential contribution to the economy and the linkages between the financial and productive sectors, is a topic barely explored, especially in emerging economies. This paper presents the construction of a Financial Social Accounting Matrix for the case of Mexico for the year 2013, using the Top-Down approach. It also presents an analytical tool through multipliers and impact simulations to understand the interconnection of income and expenditure transactions between sectors of the economy, into the intersectoral framework of financial sector flows and funds, identifying which sectors are creditors or debtors. We find that despite encouraging strategic sectors and allocating income to financial companies, the impact generated on other productive sectors is weak. Real estate services is the subsector that generates more monetary units for each exogenous monetary unit received. The methodology can be applied to assess the effects of impact simulations for planning policy, such as knowing the strategic sectors of the economy with greater linkages, and the possibility to assign and redirect financing to promote the consumption and investment capacity of both companies and households.