Many cultural and heritage assets are not recorded in national accounts, yet the capital
services they provide can create economic value. This paper discusses the challenges in
trying to incorporate this ‘missing capital’, including the absence of market prices or
exchange values for many cultural and heritage assets, the presence of externalities, and
the need for sufficiently clear definitions and classifications. While consistency with the
approach taken in the national accounts requires the use of exchange values for cultural
and heritage capital, measuring its social value – as part of inclusive wealth in the ‘Beyond
GDP agenda – requires the use of accounting or shadow prices.
