Abstract
This paper formulated a model of total value of benefits resulting from a qualitative change in environmental goods based on the concepts of Compensating Variation (CV) and Equivalent Variation (EV). We showed that the total value of environmental goods can be expressed by additive separation of use value and non-use value. We also indicated that use value can be separated into a direct use value and an indirect use value. Finally, This paper showed that observable revealed preference data from the market makes respective evaluation of the use value and the non-use value possible.
