Why, Should, and How Can Accounting and Finance Faculty Become Involved

The biggest global challenges include environmental degradation, inequality, mental health issues, and governance. To address them, accurate measurement is crucial to understand the impact of our actions and guide better decision-making. Despite limited progress in sustainability reporting, innovative technologies like AI and sensors are helping refine measurements. However, trade-offs will arise due to varying preferences, making prioritization difficult. Regulation, active financial involvement, and global standards, such as carbon taxes, are key to driving progress and internalizing externalities. Researchers and young innovators will play a pivotal role in shaping the future.