Estimating the Environmental Cost of Land Use Project

Environmental degradation is becoming a worldwide problem. However, traditional economic theory often disregards the value of environment in decision making, and the development of land use project usually ignore their damage on the land. As a result, a model needs to be proposed to calculate the cost of environment. We construct an environmental cost evaluation index system for land development projects, in order to calculate the cost of land resources loss. The land resources loss is caused by the destruction of the original land, we analyse it from the value that the land has, including land products value and ecological value. The project pollution cost is resulted from the various pollution that the projects produce after construction, we calculate the pollution treatment cost to estimate the pollution. Moreover, our model can be adjusted to the change of time easily, as we use many constants, such as prices of products and unit grain yield. (paper)